Seek .(US:SKLTY) Qian Zhan Wang·2025-07-25 01:34Core Insights - DeepSeek's monthly average downloads significantly dropped from 81.13 million in Q1 2025 to 22.59 million in Q2 2025, a decline of 72.2% [2] - The decline is attributed to user diversion to other applications that have integrated DeepSeek's open-source model, with 59.2% of lost users switching to Baidu App and 38.6% to Doubao App [2] - Major companies like Alibaba, ByteDance, and Baidu have launched cheaper competing APIs, further squeezing DeepSeek's market space [2] Company Overview - DeepSeek, developed by Deep Seek (Hangzhou) Technology Co., is an open-source AI product known for its low cost and high performance, with a training cost of only $6 million using 2048 NVIDIA H800 GPUs [3] - Despite the drop in downloads, DeepSeek's open-source strategy has contributed significantly to the industry's development [3] Industry Context - The AI model cost in China is significantly lower than that of international giants, with DeepSeek-R1's inference cost being about one-thirtieth of OpenAI's operational cost [5] - As of April 2024, approximately 305 large models have been launched in China, with 254 of them having over 1 billion parameters [4] Competitive Landscape - Baidu's Wenxin model 4.5 and X1 have been released, with the former outperforming GPT-4.5 in several tests and having an API call price only 1% of GPT-4.5's [5] - The competitive landscape includes various models such as Alibaba's Tongyi Qianwen, ByteDance's Doubao model, and others, each with unique features and pricing strategies [6] Technological Impact - AI technologies represented by DeepSeek are becoming core drivers of industry innovation, enhancing data integration, multi-modal analysis, and complex scenario simulation [7] - The lightweight nature, performance improvements, and rapid cost reductions of large models are accelerating their development and application in new industrialization [9]