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What Does DeepSeek's Cheaper AI Mean for Energy Needs?

Making AI more efficient could be less taxing on the environment, experts say, even if its huge electricity needs are not going away.

Associated Press

Associated Press

— 4 min read
What Does DeepSeek's Cheaper AI Mean for Energy Needs?
Photo of Meta datacenter in Clonee, Ireland from Meta

WASHINGTON, Jan. 29, 2025 (AP) – Chinese artificial intelligence startup company DeepSeek stunned markets and AI experts with its claim that it built its immensely popular chatbot at a fraction of the cost of those made by American tech titans.

That immediately called into question the billions of dollars U.S. tech companies are spending on a massive expansion of energy-hungry data centers they say are needed to unlock the next wave of artificial intelligence.

Could this new AI mean the world needs significantly less electricity for the technology than everyone thinks? The answer has profound implications for the overheating climate.

Post tagged in
data center Energy AI DeepSeek ChatGPT Chatbots climate change Eric Gimon Jay Woods Vic Shao Travis Miller Rahul Sandil KR Sridhar Rick Villars Advanced Energy AP

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