Deep Chic is thought to have generated significant sales through API services. It’s reported that the facility will probably be dedicated to the launch of a brand new model in the interim, as the facility will not be already available for external investments.
The Financial Times cited sources on Tuesday (14), and reported that Deep Chic recently made a big monthly sales and succeeded in covering the operating cost for the primary time.
In line with the report, firms in China’s medical and financial sectors have introduced APIs of ‘Deep Chic-R1’ and ‘Deep Chic-V3’, and there’s a scarcity of demand for computing resources which might be assigned for non-research purposes.
It will not be known how much sales are. On this regard, Deep Chic announced that earlier this month, ‘theory’ sales, which were estimated on traffic, amounted to $ 56,2027 and profit margin amounted to 545%. After all, the actual revenue is far smaller.
As well as, for the reason that company has only 160 employees, the corporate costs much less labor costs than greater than 2,000 open AI and greater than 500 Antropic.
The founding father of Liangwon Feng can also be known to have chosen to deal with research and development as an alternative of expanding sales. The corporate is in a rush to advance the launch of the inference model ‘Deep Chic-R2’ and the unsculture model ‘Deep Chic-V4’.
In actual fact, the corporate focused on research slightly than profit since its establishment. Before the R1 model was released, there was no consumer chatbot.
Sources also said that they are going to expand their computing infrastructure through the use of other suppliers in preparation for the present demand.
Specifically, Deep Chic is thought to have been supported by the Chinese government. The federal government has relaxed computing constraints through the federal government’s data center.
In the identical context, external investments are currently rejected. I used to be asked to interviews with China’s big tech, enterprise capital, and the National Support Fund, however it was hard to try to satisfy the founding father of Liang.
A Chinese technical fund investor said, “We had difficulty in connecting with the highest level of the federal government, but we only heard that we’re sorry, but we do not need money.”
Nevertheless, it’s analyzed that at some point the federal government could have to simply accept the investment of the computing infrastructure. Along with sales, Deep Chic is strongly supported by the parent company hedge fund Hyflyer, so there isn’t any problem in funding, however it is difficult to expand the computing infrastructure in a traditional way as a consequence of US technology.
After all, on this case, it’s prone to be a blacklist of the US government. Already, Open AI and Antropic argue that the White House not only prohibits the usage of Chinese models reminiscent of deep chic, but in addition should prevent access to the US model.
By Dae -jun Lim, reporter ydj@aitimes.com
