Chinese startup DeepSeek’s new AI system is world’s cheapest model by far

A version of Chinese startup DeepSeek’s flagship AI model is by far the least expensive to run on benchmark tests among well-known models globally and more than 100 times cheaper to run than Anthropic’s Claude Fable 5, according to a research firm.

DeepSeek, which sources have said is preparing for a potential IPO, officially released its V4-Flash model on Friday, its latest attempt to regain momentum by doing what it is best known for – offering ultra-low-cost AI alternatives.

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