DeepSeek: A Modern Story of David vs Goliath in the AI Arena

"Plus ?a change, plus c'est la même chose" (The more things change, the more they stay the same) has been pretty much my view on the many iterations of the Internet and digital solutions over the decades.

Yet this time, the disruption in the AI landscape might prove this famous French saying wrong.

The Dawn of a New AI Era: Why Business Leaders Should Pay Attention

When a Chinese company manages to create an AI system that matches the capabilities of industry giants while using fewer resources, it's more than just another tech headline – it's an event that will reshape how businesses approach AI integration.

This recent conversation between Andrew Marr, Gina Neff , and Verity Harding really caught my attention and somehow reveals a fascinating tableau of technological disruption, geopolitical tensions, and environmental considerations that every business leader should be thinking about.

You can watch the extract from LBC YouTube Channel below or go straight to the summary section:

Source: LBC YouTube Channel - Andrew Marr, Journalist and Commentator in conversation with Professor Gina Neff, Executive Director of the Minderoo Centre for Technology and Democracy at Cambridge University, and Verity Harding, Director of the AI and Geopolitics Project at the Bennett Institute of Public Policy at Cambridge University.

Key Insights From The Conversation

First and foremost, DeepSeek has demonstrated that sophisticated AI capabilities don't necessarily require massive resources – un tour de force that challenges the conventional wisdom about AI development.

Professor Neff highlighted a critical point: DeepSeek achieved comparable results to ChatGPT with "a fraction of the resources." This development is particularly significant for governments, agencies, and businesses that previously might have felt excluded from the AI revolution due to resource constraints.

Verity Harding's insights about the geopolitical aspects revealed another crucial dimension we should all appreciate: the competition between nations is driving innovation, but businesses should focus on functionality rather than nationality when choosing AI tools. As she aptly put it, people won't make choices based on "lofty calls to patriotism" when seeking practical solutions.

The environmental impact of AI development emerged as another crucial consideration. The current trajectory of AI development demands enormous energy resources, with Professor Neff pointing out the UK's plans to locate AI opportunity zones near nuclear facilities to ensure sufficient power supply.

Other highlights that will no doubt stimulate conversations in the workplace, in the classroom, and at home include:

Professor Gina Neff

• Challenging Silicon Valley's "hyperscale" strategy, proving more can be done with less
• Advocating for open-source AI development to democratise innovation
• Warning about balancing AI power needs against housing and public infrastructure demands

Verity Harding

• Emphasising UK's potential to compete through talent despite lacking scale
• Stressing the importance of making AI choices based on practical utility
• Noting that showing reasoning patterns doesn't equate to human-like thinking

Andrew Marr

• Questioning trust assumptions between Western and Chinese tech companies
• Highlighting the political implications of AI development
• Raising important questions about data privacy across different providers

Steady as She Goes: Charting Your Course in Uncertain AI Waters

So what are we supposed to feel and do about Deepseek and its disruptive effect on the current networks of AI platforms vying for our attention (and money)?

I have some thoughts, I guess inspired by my work as a trainer and consultant, so to begin with...

Essential Questions Every Business Leader Should Consider

1. Resource Optimisation: How can your business leverage AI capabilities without falling into the trap of thinking bigger always means better?
2. Environmental Impact: What steps can you take to ensure your AI adoption strategy aligns with sustainable business practices?
3. Competitive Advantage: What is the best approach for your business to benefit from the growing democratisation of AI technology?

Three Strategic Actions to Take Right Now

1. Audit Your AI Needs: Begin with a thorough assessment of your current AI usage and future requirements. Like a good French chef who knows exactly what ingredients they need, create an inventory of your digital and AI tools and evaluate their effectiveness. Consider whether smaller, more efficient solutions might serve your purposes better.
2. Develop an AI Ethics Framework: Create clear guidelines for AI usage in your business considering data privacy, environmental impact, and ethical considerations. This framework should be your raison d'être for AI adoption, ensuring all decisions align with your values and business objectives.
3. Invest in AI Literacy: Ensure your team understands AI capabilities and just as importantly its limitations. This doesn't mean everyone needs to become a data scientist, but like learning the basics of a new language, understanding AI fundamentals will help you and your teams make better decisions.

Pitfalls to Avoid - aka lessons from the impact of DeepSeek's launch

1. The Scale Fallacy: Don't assume that bigger or more expensive AI solutions are necessarily better. As DeepSeek has shown, efficiency and innovation can outweigh raw computing power.
2. Analysis Paralysis: While careful consideration is important, don't let fear of making the wrong choice prevent you from adopting AI technologies. Start small, test, and iterate.
3. Ignoring Environmental Impact: Don't overlook the environmental costs of AI implementation. Consider the energy efficiency of your AI solutions as part of your selection criteria.

Final Words From Moi!

I guess you would expect someone like me to find this moment in AI development particularly fascinating. The DeepSeek breakthrough represents a pivotal moment that will reshape how businesses approach AI implementation.

I would go as far as suggesting that this will be mentioned in business lectures worldwide as an example of market forces and the disruptive power of new entrants in a particular sector.

Indeed, the key lesson for businesses is clear: we're operating in an era where smart, efficient AI solutions will triumph over 'size-matters' approaches. This increased accessibility of AI technology presents an unprecedented opportunity for small and medium-sized businesses to compete on a more level playing field.

Could this possibly pave the way for our own UK inventions and AI platforms that will offer a robust and compelling experience as an alternative to ChatGPT or Perplexity?

For now, let's observe this very volatile and occasionally brutal evolution of AI solutions, which has a strong parallel with the evolution of search engines, and let's focus on building our skills and finding AI solutions that fit our specific needs and align with our values.

Rather reassuringly for us all, the future of AI in business is no longer about having the biggest computing power or the most data – it's about accessing tools designed intelligently and efficiently to create value for your customers while respecting our planet's resources.

That's the real je ne sais quoi that will set successful businesses apart in this new AI landscape.

To your success.

Pascal

Useful Resources

1. https://www.deepseek.com/
2. Professor Gina Neff https://www.cam.ac.uk/people/gina-neff
3. Verity Harding https://www.cam.ac.uk/people/verity-harding
4. Minduru Center for Technology and Democracy https://www.minduru.org
5. Bennett Institute of Public Policy https://www.bennettinstitute.cam.ac.uk
6. The UK Government's AI Opportunities Action Plan: https://www.gov.uk/government/publications/ai-opportunities-action-plan/ai-opportunities-action-plan
7. Cambridge University's Minderoo Centre for Technology and Democracy: https://www.mctd.ac.uk
8. The Bennett Institute of Public Policy's AI and Geopolitics Project: https://www.bennettinstitute.cam.ac.uk/blog/geopolitical-tensions-shaping-future-ai/
9. Environmental Impact Studies of AI Development: https://en.wikipedia.org/wiki/Environmental_impacts_of_artificial_intelligence
10. Small Business Guide to Sustainable AI Implementation: https://www.nexforgelabs.com/blog/ai-for-small-business-the-complete-implementation-guide-for-2025