TechCapsules

AI-summarised brief · reviewed before publication

According to Shum, while the US is still leading in AI chip technology, China is rapidly catching up in algorithms. However, Shum acknowledges that China faces significant challenges in chip production, which cannot be bridged in a short span of one or two years. Shum suggests that one way for China to overcome these challenges is to focus on achieving breakthroughs in algorithm engineering. This approach could help Chinese companies to make up for the lack of computing power, which remains a significant constraint for many businesses in mainland China and Hong Kong. Interestingly, a Chinese company called DeepSeek, based in Hangzhou, has already demonstrated the potential of this approach. Earlier this year, DeepSeek released two large language models that matched the performance of their Western counterparts, but at significantly lower costs. This achievement has garnered global attention and highlights the rapid progress being made in AI development in China.