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[🇧🇩] Artificial Intelligence-----It's challenges and Prospects in Bangladesh

G Bangladesh Defense
[🇧🇩] Artificial Intelligence-----It's challenges and Prospects in Bangladesh
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Govt service delivery: Task force for using AI, social media

A task force formed by the planning ministry is going to recommend the formation of an independent centre for delivering government services via social media and utilising artificial intelligence (AI).

Such proposals came against the context that influence of both social media and artificial intelligence has been on the rise in Bangladesh alongside other parts of the globe.

The 12-member task force, led by KAS Murshid, former director general of the Bangladesh Institute of Development Studies, has finalised a draft report.

The nearly 600-page report will be submitted to Planning and Education Adviser Wahiduddin Mahmud in a couple of days, said ministry officials.

The ministry formed the task force in September last year to develop strategies to boost the economy and mobilise resources for equitable and sustainable development.

The draft report provides strategic recommendations for addressing pressing challenges and facilitating equitable and sustainable development in Bangladesh under the interim government led by Prof Muhammad Yunus.

It emphasises short-term pragmatic interventions and long-term reforms across sectors, addressing economic growth, governance, public service delivery, and environmental sustainability.

The draft report says the name of the centre will be the Centre for Social and Behavioural Change Communication and Research (CSBCC&R).

It added that the establishment of the independent centre is essential to addressing the fragmented nature of current efforts in this critical area.

Currently, various departments handle communication initiatives without a cohesive strategy, leading to inefficiencies, and missed opportunities.

The CSBCC&R would centralise these efforts, providing a structured platform for both traditional media and digital communication strategies.

By merging traditional methods such as community workshops and meetings with contemporary digital campaigns utilising social media and online platforms, the CSBCC&R would create a unified and impactful communication strategy to drive social change, attitudes, norms, and practices.

Regarding AI utilisation, the draft report says a major strategic emphasis is required within key sectors such as education, health, agriculture, and public institutions to facilitate the widespread adoption of digital and artificial intelligence (AI) technologies.

For instance, employing satellite sensing technology can enable effective crop early-warning systems to improve agricultural practices, while distance education can ensure that learning continues uninterrupted regardless of geographical barriers.

"By integrating these advanced technologies, we can enhance quality, efficiency and access across multiple sectors, ultimately improving outcomes for the entire population," said the report.

Moreover, the report says utilising digital and AI technologies effectively would help bridge the existing digital divide.

This involves reducing data costs, increasing access to affordable smartphones -- implemented with appropriate safeguards for age-specific content -- and fostering the growth of a robust domestic software and hardware ICT industry.

"By promoting widespread digital access, we can empower citizens, enhance digital literacy, and stimulate innovation within the ICT sector," the report mentions.

The task force also recommended introducing an automatic traffic signalling system for streamlining the urban transport system.

Such a system is a fundamental requirement for any major city worldwide; yet attempts to implement the system in Dhaka have faced challenges, often collapsing due to resistance from vested interests, it said.

This initiative should be regarded as a "low-hanging fruit" because it is both actionable and capable of yielding immediate benefits.

Besides, it said the current model of public transport in Dhaka, characterised by multiple ownership of bus services, has led to significant confusion and chaos on the roads, directly impacting public safety and convenience.

A transition to a single-owner bus service franchise that unites all the fragmented owners into one provider has been recommended as a solution to end urban bus transport chaos.

This should be marked by a move to put drivers on a fixed salary rather than on a commission.

Key focus areas of the report include pilot projects to demonstrate reform potential, initiatives in infrastructure, education, health, and governance, leveraging digital technology, and fostering youth engagement.

It critiques past governance and economic mismanagement while proposing a human-centered development strategy.

The draft report has suggested for public hospital reform in Dhaka with real-time monitoring and user feedback, rural school and clinic reform tailored to address rural challenges, and revitalisation of the Buriganga river as a symbolic and urgent environmental project.

Besides, for institutional reforms, it said creation of new bodies like the Regulatory Reform Commission, and Centre for Global Excellence in STEM education.

Moreover, it recommended for strategic overhaul of Bangladesh Biman, including potential renaming as "Bangladesh Airways" as well as restructuring or replacement.​
 

Tapping into AI potentials to ensure better educational outcomes
Dhiraj S Dabi
Published: 24 Jan 2025, 15: 51

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It goes without saying that AI is a double-edged sword, having its share of both positive and negative impacts. Just like any other technological innovation, AI, on the one hand, can be so disruptive that it could bring about instrumental changes in all spheres of life; on the other hand, it could also lead to devastating impacts on human lives. Especially, as far education sector is concerned, whether to integrate AI or not seems to be the big question. Realizing its significance, the theme for the International Day of Education 2025 has been decided as ‘AI and Education: Preserving Human Agency in the World of Automation’.

It is important to remember that although AI is already a powerful tool in the world, its potential capabilities are even greater, meaning it could shape education and change the way teachers around the world impart knowledge. However, society has an obligation to stop and see if we are indeed leveraging AI correctly.

There is little doubt that AI can be a great asset in the classroom. It makes education easier and helps especially those with special needs with a much more personalized experience. Because of the advancements in AI, educators can ensure nobody is left behind, and learners have more equitable access to education. Additionally, with the help of AI for administrative tasks, teachers are able to spend more time doing what they love most, which is guiding students and, engaging with them in deeper conversations. In a country like Bangladesh where access to quality education can be limited in many places and with millions of students at school age, AI can be a great tool for bridging the gap.

While it stands true that AI has revolutionized education, we also need to look into the challenges that it presents to students’ well-being. Complete dependence on AI can be very harmful for students as it can ruin their creativity. While it must be easy and time-saving to use AI for every small question we have, we cannot forget that the real beauty of being a human lies in our ability to critically think and express ourselves.

Social isolation is another issue that arises with the use of AI. There was a time when students felt the need to spend hours with their teachers, friends and peers for learning and discussions. However, with the increased use of AI, students are now more and more reliant on ChatGPT for answering all their questions. This lack of interpersonal communication can lead to social isolation, lack of emotional and social intelligence in students – which are all very important aspects of education as well.

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Students are busy with robotic prototypes Courtesy

Now more than ever, student wellbeing is paramount, and with technology like Artificial Intelligence taking such great leaps, it could turn into a concern any time soon. Children must receive an education that enables them to be self-reflective and emotional as well as creative thinkers. This means AI must be adopted in a deliberate way and with a comprehensive strategy.

Everyone from parents to educators and other concerned parties must come up with an effective plan to integrate technology into the classroom while also addressing the problems that are bound to come with the use of AI. Primary and secondary schools and universities are now changing their curriculum to incorporate more project-based methods of teaching, which are enhanced with the use of technology but without compromising the creative and emotional skills children possess. Students must also learn about the ethical side and the restraints that AI has. But most importantly, the AI tools that educational institutions will utilize must offer the students a guaranteed improvement in their mental health, physical health, inclusivity, and moral standards.

Many schools around the world nowadays are already rejecting the archaic methods of teaching and focusing on more modern ways. Of late, many countries including China, Korea, India and the United Arab Emirates, have taken steps to integrate elements of AI into the curriculum. Some countries like Singapore are also setting up research centres in collaboration with higher education institutions to enhance quality. Even in Bangladesh, many schools are trying to adopt AI for better learning outcomes. For example, AI has become a part of everyone’s life at Glenrich International School as they have been slowly trying to teach their students how to use AI in the right way effectively. More educational institutions need to focus on developing digital and AI literacy.

On this International Day of Education, let’s focus on the challenges of incorporating AI into the education system. Let’s ponder how educators can leverage the power of AI to make sure that learners blush and bloom in the highly competitive world.

Dhiraj S Dabi is Head of Department - AI and Robotics, Glenrich International School Satarkul, Dhaka​
 

What is the hype around DeepSeek?

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DeepSeek - AI Assistant in Google Play Store. Image: Tech & Startup Desk.

In the rapidly evolving field of artificial intelligence (AI), a new player has emerged, shaking up the industry and unsettling the balance of power in global tech. DeepSeek, a Chinese AI startup, is generating considerable buzz for its cost-effective innovation and potential to rival leading Western companies like OpenAI and Anthropic. However, its rise is not without controversy, raising questions about the ethics and economic repercussions of its approach.

What is DeepSeek?

Founded in 2023, DeepSeek is a startup from Hangzhou founded by an engineering graduate Liang Wenfeng. After the launch of OpenAI's ChatGPT, many Chinese firms tried to create their own AI powered chatbots but ultimately failed to meet user expectations. However, the appreciation around DeepSeek is different. The company recently received wide recognition in the US tech industry for creating an advanced AI model with the 'DeepSeek - AI assistant' app reaching the top charts in US Apple app store and Google Play store.

DeepSeek has positioned itself as a formidable competitor in the AI race, particularly with the recent launch of its R1 and V3 models. According to a recent report by The Verge, the company claims to have developed its open source V3 LLM model with a budget of less than $6 million and just 2,000 Nvidia chips—a fraction of the resources utilised by western counterparts like OpenAI which reportedly used over 16,000 chips. OpenAI CEO Sam Altman claimed that the development for GPT-4 cost over $100 million.

According to a post on DeepSeek's official WeChat account, with the launch of its R1 model, DeepSeek is 20 to 50 times cheaper to use than OpenAI o1 model, depending on the task.

A threat to western dominance

DeepSeek's rapid progress has sparked alarm among Western tech giants and investors alike. Its ability to achieve results with limited resources challenges the prevailing notion that success in AI development is solely a function of capital and computational power. This has prompted a reevaluation of investment strategies across the industry, with other tech giants scrambling to adjust.

Nvidia, the chip manufacturer, had its shares plunging by more than 13 percent. Moreover, Dutch chipmaker ASML also fell more than 10 percent, AI investor SoftBank fell more than 8%, while Tokyo Electron slipped 4.9% according to a recent report by Business Insider.

The pan-European Stoxx 600 declined on 27 January, with technology stocks experiencing a sharp drop of 4.5%. Notably, Germany's Siemens Energy—an AI infrastructure hardware provider—plunged nearly 20%, and France's digital automation firm Schneider Electric saw a 9% decrease. These losses mirrored declines in Asian markets, where Japanese chipmakers Disco and Advantest, a supplier to Nvidia, fell by 1.8% and 8.6%, respectively. Meanwhile, in the US, Nasdaq 100 futures dropped 2.6%, and S&P 500 futures slid 1.4% according to a recent report by The Guardian.

While the technology behind DeepSeek's models is being celebrated, its success has geopolitical implications. It represents not only a technological shift but also a broader challenge to western dominance in AI research and development. The prospect of China gaining a significant foothold in this domain has further fuelled tensions in the ongoing tech rivalry between the US and China.

In a recent update, DeepSeek announced on 27 January that it would temporarily restrict new registrations due to "large-scale malicious attacks" on its software.

DeepSeek's rise also coincides with the US imposing restrictions on the sale of advanced chip technology essential for powering AI to China. To keep progressing without a steady flow of imported chips, Chinese AI developers have been sharing their research and testing alternative approaches. This collaboration has led to the creation of AI models that consume significantly less computing power. As a result, these models are now far more affordable than previously anticipated, potentially disrupting the entire industry.

The rise of DeepSeek marks a pivotal moment in the AI industry. Its disruptive approach has already reshaped the narrative around AI development, proving that innovation is not solely the domain of well-funded tech behemoths. As the company continues to expand, the world will be watching closely to see how it navigates the complex intersection of technology, ethics, and geopolitics.​
 

DeepSeek hit by outages as users flock to Chinese AI startup

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Chinese startup DeepSeek was on Monday hit by outages on its website after its AI assistant became the top-rated free application available on Apple's App Store in the United States.

The company resolved issues relating to its application programming interface and users' inability to log in to the website, according to its status page. The outages on Monday were the company's longest in around 90 days and coincides with its sky-rocketing popularity.

Powered by the DeepSeek-V3 model, which its creators say "tops the leaderboard among open-source models and rivals the most advanced closed-source models globally", the artificial intelligence application has surged in popularity among US users since it was released on Jan. 10, according to app data research firm Sensor Tower.

The milestone highlights how DeepSeek has left a deep impression on Silicon Valley, upending widely held views about US primacy in AI and the effectiveness of Washington's export controls targeting China's advanced chip and AI capabilities.

AI models from ChatGPT to DeepSeek require advanced chips to power their training. The Biden administration has since 2021 widened the scope of bans designed to stop these chips from being exported to China and used to train Chinese firms' AI models.

However, DeepSeek researchers wrote in a paper last month that the DeepSeek-V3 used Nvidia's H800 chips for training, spending less than $6 million.

Although this detail has since been disputed, the claim that the chips used were less powerful than the most advanced Nvidia products Washington has sought to keep out of China, as well as the relatively cheap training costs, has prompted US tech executives to question the effectiveness of tech export controls.

What we strive to do is to show to the world that flying V is a viable alternative to the Cuban wing airplane that we're flying with now and it can be as safe but much more energy efficient.

Little is known about the company behind DeepSeek, a small Hangzhou-based startup founded in 2023, when search engine giant Baidu released the first Chinese AI large-language model.

Since then, dozens of Chinese tech companies large and small have released their own AI models, but DeepSeek is the first to be praised by the US tech industry as matching or even surpassing the performance of cutting-edge US models.​
 

Utilising AI in Bangladesh’s RMG sector

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Artificial intelligence (AI) offers immense potential to transform Bangladesh's ready-made garment (RMG) sector, enabling enhanced productivity, improved quality, and sustainable practices, while simultaneously addressing inefficiencies, streamlining processes, and increasing competitiveness. AI-powered systems can revolutionise the production process by enabling real-time monitoring and optimising factory operations. Machines equipped with AI can predict potential failures in equipment, cutting costly downtime and ensuring uninterrupted production. Additionally, AI-driven robotics can assist in repetitive tasks such as fabric-cutting, stitching, and packaging, reducing the time and cost associated with human labour. Human errors will also be minimised leading to the overall improvement of product quality.

Besides, AI technologies, such as image recognition systems, can inspect RMG products with precision, detecting flaws in stitching, colour or patterns. By ensuring that only high quality products reach international buyers, these systems can help safeguard Bangladesh's reputation as a reliable supplier. This technological edge can play a pivotal role in retaining the existing customer base and attracting new ones in an increasingly quality-conscious market.

AI-powered analytics can also provide real-time insights into supply chain dynamics, allowing manufacturers to predict disruptions and make data-driven decisions. For instance, if a delay in raw material shipments is anticipated, AI tools can recommend alternative suppliers, ensuring that production schedules remain intact. By forecasting demand more accurately, manufacturers can also avoid overproduction and manage inventory efficiently, reducing waste and aligning with just-in-time manufacturing principles.

Furthermore, AI can contribute to sustainable practices by optimising resource usage, such as calculating fabric layouts to minimise waste or monitoring energy and water consumption in factories. These measures will reduce environmental impact and also appeal to global buyers, who are increasingly seeking eco-friendly products.

In addition to streamlining operations, AI has the potential to transform customer engagement. By analysing consumer behaviour, AI tools can identify trends and preferences, enabling manufacturers to design products tailored to market demands. AI-powered online platforms can enhance the shopping experience, offering personalised recommendations and improving customer satisfaction. These innovations can help Bangladeshi manufacturers establish stronger connections with international buyers and boost sales.

Worker safety and productivity are other areas where AI could bring about meaningful change. AI-driven sensors can monitor factory conditions, detecting hazards such as gas leaks or structural vulnerabilities and ensuring swift action to prevent accidents. Wearable AI devices can track worker health and performance, providing data to improve workplace safety and efficiency, as well as protecting workers and creating a more productive and motivated workforce.

Using AI technologies, manufacturers can make Bangladeshi garment products more competitive in global markets and attract foreign investment, as international brands increasingly prioritise partnerships with technologically advanced suppliers. However, the road to AI integration is not without challenges. One of the most significant concerns is the potential for job displacement, particularly among low-skilled workers who form the backbone of the industry. Automation of repetitive tasks could lead to reduced demand for manual labour, raising fears about unemployment in a sector that provides livelihoods to millions. Addressing this issue requires a proactive approach, including the implementation of reskilling programmes to prepare workers for technology-driven roles. By equipping the workforce with new skills, the industry can create opportunities for employment in areas such as data analysis, programming, and machine maintenance.

Another challenge is the high cost of adopting AI technologies, which includes expenses for equipment, software, and training. For smaller manufacturers, these upfront investments may seem prohibitive. Government support in the form of subsidies, tax breaks, and low-interest loans could play a crucial role in making AI adoption more accessible. Policymakers must also establish a regulatory framework to encourage research and development in AI applications tailored to the needs of the RMG sector. However, while using AI technologies, manufacturers must ensure that robust safeguards are in place to protect sensitive information, both within their operations and in customer interactions. Building trust in the technology is essential for its widespread adoption.

Resistance to change is another hurdle that must be overcome. Many stakeholders in the RMG sector may be unfamiliar with AI or sceptical of its benefits. Demonstrating the tangible advantages of AI through pilot projects and success stories can help build confidence and encourage broader adoption.

The path forward requires a collaborative effort between the government, industry stakeholders, and technology providers. Policymakers must create an enabling environment through supportive policies and incentives, while manufacturers need to invest in upskilling their workforce and exploring partnerships with technology firms. A phased approach to AI integration, starting with pilot projects and gradual scale-up, can help mitigate risks and ensure a smooth transition.

Mostafiz Uddin is the managing director of Denim Expert Limited. He is also the founder and CEO of Bangladesh Denim Expo and Bangladesh Apparel Exchange (BAE).​
 

AI strategy for Bangladesh
Shah Yunus and Habib Siddiqui 28 January, 2025, 00:00

ARGUABLY, all socio-economic development has been driven by Intellectual Property and Operating System. When IP touches masses it morphs into OS in a transformative way — OS changes and touches lives on a global scale. OS opens the door for many new IP and fosters innovations and creativity for the masses, improving quality of life and creating assets.

The earliest of IP and related OS emerged from ‘stone tools,’ ‘creating and managing fire,’ ‘creation of language,’ ‘mastering various metals,’ ‘organised agriculture,’ ‘domesticated animals,’ and the lists continue. These early IPs and transcendental OS shaped early humanity and created the foundation of the modern world. Those early human successes helped bring about the key world-changing transcendental IP and OS as Industry 1.0 (steam engine), Industry 2.0 (electricity), Industry 3.0 (transistor, microelectronics), Industry 4.0 (digital/network), and now Industry 5.0 (AI/cognitive).

Each of those revolutions began with proprietary innovations that spread through standardisation and became essential infrastructure, transforming into societal OSs and creating winners and losers, highlighting the technological and economic inequalities resulting in a multi-tier world.

Now the idea about the emergence of AI (artificial intelligence) dominating the world is to leverage it fully to bridge the gaps between the negative pathologies of the present-day multi-tier world. Here are some of the key benefits that we must master and leverage wholeheartedly to gain a leading seat in the future world:

Benefits of AI in Bangladesh

AS PART of task automation, AI can automate routine tasks, reducing the need for human intervention and increasing efficiency. AI algorithms can optimise business processes, supply chains, and logistics, saving time and resources.

AI can process and analyse large volumes of data quickly, providing insights that would be impossible for humans to discern manually. AI supports better decision-making by providing accurate predictions and data-driven recommendations.

AI can assist in diagnosing diseases more accurately and rapidly than traditional methods. AI enables the development of personalised treatment plans based on individual patient data.

AI can increase productivity in various industries, leading to economic growth. While AI may automate some jobs, it also creates new job opportunities in tech and other sectors.

AI can personalise user experiences in services such as e-commerce, entertainment, and education. AI-powered chatbots and virtual assistants provide 24/7 customer service, improving customer satisfaction.

AI can enhance security through advanced surveillance systems capable of detecting anomalies. AI algorithms can detect and respond to cyber threats more efficiently than traditional methods.

AI can accelerate research in fields like pharmaceuticals, material science, and environmental science. AI fosters innovation by enabling the rapid prototyping and testing of new ideas. AI can tailor educational content to individual learning styles and pace, improving outcomes. AI-powered tools can help people develop new skills and adapt to changing job markets.

AI can optimise the use of natural resources and reduce waste. AI can model and predict climate change impacts, aiding in mitigation and adaptation strategies.

AI provides assistive technologies for people with disabilities, enhancing their independence and quality of life. AI-powered translation services break down language barriers, facilitating global communication.

AI is key to developing self-driving cars, which could reduce accidents and improve traffic flow. AI enables the creation of smart cities with efficient public transportation, energy use, and waste management.

AI can generate music, art, and literature, offering new forms of creative expression. AI curates personalised content for users based on their preferences and habits.

AI helps in precision agriculture, optimising crop yields and reducing environmental impact. AI improves the food supply chain, from production to distribution, enhancing food security.

AI powers social media algorithms that connect people with similar interests across the globe. AI enhances online shopping experiences with recommendation systems and predictive search.

In summary, Industry 5.0 and associated AI have the potential to bring about significant improvements in every aspect of our lives, and we must devote every resource to make it our own winning strategy.

Bangladesh has largely missed the benefits of the first four industrial revolutions, and we must not miss the Industry 5.0 boat.

Need for an AI institute

A DEDICATED Bangladesh AI Institute to spearhead the development and application of AI technologies across various sectors is a must. The government must ensure that every action and decision in Bangladesh is informed and improved by data and intelligence. Scope to apply AI and data-driven approaches across all sectors, including private and public, for-profit and non-profit, healthcare, finance, administration, education, infrastructure, and more, should be created. The government should consider investing in education to develop AI literacy and skills among the population, starting from early education through to higher learning and professional development. A robust digital infrastructure to support AI technologies, including mobile networks, data centres, and cloud services, should also be considered. To utilise AI in healthcare for better diagnostics, telemedicine, and predictive analytics to improve health outcomes, the health sector stakeholders must revisit existing policies. It is important to foster an AI startup ecosystem and support AI applications in agriculture, manufacturing, and other economic sectors to drive growth. For environmental management, deploying AI could help facilitate efficient resource management, environmental monitoring, and energy optimisation. The government should explore developing AI-driven defence capabilities and cybersecurity measures to protect national interests and infrastructure.

These prescriptions are aimed at enabling Bangladesh to catch up with and potentially lead in the global transition to Industry 5.0, leveraging AI and cognitive technologies to drive development and reduce the technological gap with more advanced economies.

Dr Shah Yunus has been a software architect and computational science expert for over 40 years; and Dr Habib Siddiqui is a peace and human rights activist who lives in the United States.​
 

What is DeepSeek, and why is Nvidia losing billions because of it?

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DeepSeek - AI Assistant in Google Play Store. Image: Md. Zahidur Rabbi.

In the rapidly evolving field of artificial intelligence (AI), a new player has emerged, shaking up the industry and unsettling the balance of power in global tech. DeepSeek, a Chinese AI startup, is generating considerable buzz for its cost-effective innovation and potential to rival leading Western companies like OpenAI and Anthropic. It has also been the leading cause behind Nvidia's monumental market cap plunge on January 27 - with the leading AI chip company losing 17% of its market share, equating to $589 billion in market cap drop, making it the largest single-day loss in US stock market history.

However, despite being an overnight success, DeepSeek's rise is not without controversy, raising questions about the ethics and economic repercussions of its approach. Let's take a look at what this Chinese AI startup is and what the hype around it is all about.

What is DeepSeek?

Founded in 2023, DeepSeek is a startup from Hangzhou founded by an engineering graduate Liang Wenfeng. After the launch of OpenAI's ChatGPT, many Chinese firms tried to create their own AI powered chatbots but ultimately failed to meet user expectations. However, the appreciation around DeepSeek is different. The company recently received wide recognition in the US tech industry for creating an advanced AI model with the 'DeepSeek - AI assistant' app reaching the top charts in US Apple app store and Google Play store.

DeepSeek has positioned itself as a formidable competitor in the AI race, particularly with the recent launch of its R1 and V3 models. According to a recent report by The Verge, the company claims to have developed its open source V3 LLM model with a budget of less than $6 million and just 2,000 Nvidia chips—a fraction of the resources utilised by western counterparts like OpenAI which reportedly used over 16,000 chips. OpenAI CEO Sam Altman claimed that the development for GPT-4 cost over $100 million.

According to a post on DeepSeek's official WeChat account, with the launch of its R1 model, DeepSeek is 20 to 50 times cheaper to use than OpenAI o1 model, depending on the task.

A threat to western dominance

DeepSeek's rapid progress has sparked alarm among Western tech giants and investors alike. Its ability to achieve results with limited resources challenges the prevailing notion that success in AI development is solely a function of capital and computational power. This has prompted a reevaluation of investment strategies across the industry, with other tech giants scrambling to adjust.

Nvidia, the chip manufacturer, had its shares plunging by more than 13 percent. Moreover, Dutch chipmaker ASML also fell more than 10 percent, AI investor SoftBank fell more than 8%, while Tokyo Electron slipped 4.9% according to a recent report by Business Insider.

The pan-European Stoxx 600 declined on 27 January, with technology stocks experiencing a sharp drop of 4.5%. Notably, Germany's Siemens Energy—an AI infrastructure hardware provider—plunged nearly 20%, and France's digital automation firm Schneider Electric saw a 9% decrease. These losses mirrored declines in Asian markets, where Japanese chipmakers Disco and Advantest, a supplier to Nvidia, fell by 1.8% and 8.6%, respectively. Meanwhile, in the US, Nasdaq 100 futures dropped 2.6%, and S&P 500 futures slid 1.4% according to a recent report by The Guardian.

While the technology behind DeepSeek's models is being celebrated, its success has geopolitical implications. It represents not only a technological shift but also a broader challenge to western dominance in AI research and development. The prospect of China gaining a significant foothold in this domain has further fuelled tensions in the ongoing tech rivalry between the US and China.

In a recent update, DeepSeek announced on 27 January that it would temporarily restrict new registrations due to "large-scale malicious attacks" on its software.

DeepSeek's rise also coincides with the US imposing restrictions on the sale of advanced chip technology essential for powering AI to China. To keep progressing without a steady flow of imported chips, Chinese AI developers have been sharing their research and testing alternative approaches. This collaboration has led to the creation of AI models that consume significantly less computing power. As a result, these models are now far more affordable than previously anticipated, potentially disrupting the entire industry.

The rise of DeepSeek marks a pivotal moment in the AI industry. Its disruptive approach has already reshaped the narrative around AI development, proving that innovation is not solely the domain of well-funded tech behemoths. As the company continues to expand, the world will be watching closely to see how it navigates the complex intersection of technology, ethics, and geopolitics.​
 

The DeepSeek Shockwave: Is the global AI capital steadily shifting to China?
Battle for AI supremacy heats up

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DeepSeek's stunning cost efficiency starkly contrasts the exorbitant expenditures typically associated with US tech giants. FILE PHOTO: REUTERS

In one of the most dramatic shifts in the tech industry, the recent release of DeepSeek's R1, an open-source artificial intelligence (AI) reasoning model, sent shockwaves through the US tech giants, wiping more than $1 trillion off the markets. Stalwarts like Nvidia witnessed stock drops by as much as $500 billion (17 percent). The DeepSeek model, originating from a small Hangzhou-based startup, was developed at a fraction of the cost incurred by its US counterparts like OpenAI. This event signifies China's growing prowess in AI, challenging Western tech giants' long-standing dominance.

Despite stringent US export restrictions on advanced technologies, Chinese inventors showed tenacity and resilience in the burgeoning AI landscape. Companies like Huawei and YMTC underscore China's progress towards creating faster and more efficient chips. This steady climb emphasises how they circumvent Washington's restrictions by fostering high domestic productivity and innovation. The critical question is: are US export restrictions futile, merely strengthening Beijing's resolve to upend US tech dominance, similar to the development of its global satellite navigation system BeiDou?

DeepSeek's stunning cost efficiency starkly contrasts the exorbitant expenditures typically associated with US tech giants. This comes as welcome news when the conventional AI models are so power-hungry and require so much water to keep them cool that their sustainability is a concern, questioning the high-cost models and their long-term viability in a marketplace increasingly influenced by cost-efficient solutions. China's strategic focus on AI and related technologies has also made significant progress across various domains, from natural language processing to autonomous vehicles.

As the efficacy of the export controls is being questioned, evidence suggests mixed results. On the one hand, DeepSeek's accomplishment demonstrates that stringent measures do not entirely curtail innovation and may instead stimulate more. Conversely, the United States's steadfast imposition of export controls underscores the intimate relationship between national security and technological supremacy. The efficacy of these measures is further complicated by the global nature of talent migration, which sees leading experts from the West moving to China.

China's allure isn't limited to technological advancements but extends to attracting top-tier talent from all over. For instance, leading cancer scientist Sun Shao-Cong returned to China amid US investigations, while French Nobel-winning laser scientist Gérard Mourou joined China's top university. Additionally, respected mathematician Kenji Fukaya left the US for China's Tsinghua University, and award-winning mathematician Ma Xiaonan departed Europe for China. Other notable examples include prominent British physicist Prof Zhang Yonghao, who joined China's national hypersonic laboratory in Beijing, and global climate expert Chen Deliang, who returned to China after decades in Europe. Award-winning mathematician Wang Xujia also returned to China after a long career in Australia. These moves highlight a significant trend: China's growing attractiveness as a cutting-edge research and innovation hub.

The journey to build advanced semiconductor chips without ASML's state-of-the-art extreme ultraviolet (EUV) lithography machines exemplifies China's inventive spirit. Chinese scientists are pioneering alternative methods that bypass these restrictions. One breakthrough involves the laser-induced discharge plasma (LDP) method, a process that generates EUV light using laser vaporisation of tin and high-voltage discharge. This innovation, spearheaded by Prof Zhao Yongpeng at the Harbin Institute of Technology, is cost-effective and energy-efficient. The strategic collaborations with institutions like the Shanghai Institute of Optics and Tsinghua University further enhance these efforts.

Additionally, Chinese companies are leveraging deep ultraviolet (DUV) lithography machines to make sophisticated chips. Techniques such as self-aligned quadruple patterning (SAQP) allow for the etching of lines on silicon wafers multiple times, increasing transistor density and chip performance. This approach underscores Chinese innovation and highlights the country's determination to overcome import dependencies and US-imposed restrictions.

China's recent successful space missions, such as the Chang'e 5 lunar sample return and the Tianwen-1 Mars mission, undeniably showcase the country's burgeoning capabilities in advanced chip production and other related technologies. These complex endeavours require sophisticated autonomous navigation and control systems, advanced image recognition for terrain mapping and object identification, and real-time data analysis to adapt to unforeseen circumstances. The successful execution of these missions demonstrates Beijing's mastery of AI-powered robotics, machine learning, and deep learning technologies, solidifying its position as a leading force in the global AI landscape.

So, the question is: are we witnessing a steady shift of the global AI capital to China?

Washington would hate to see that happen, as President Donald Trump has allocated $500 billion to AI research and development to ensure continued US dominance in the AI arena. This only follows his predecessor's tactics without giving it strategic thought. The Biden administration had made the race for chip manufacturing a top priority by offering $53 billion to the industry. Four years later, his Commerce Secretary Gina Raimondo said, "Trying to hold China back is a fool's errand." That gamble failed. Will President Trump's work?

Dr Sayeed Ahmed is a consulting engineer and the CEO of Bayside Analytix, a technology-focused strategy and management consulting organisation.​
 

Will AI push us towards isolation and lost creativity?

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These days the lines between the humans and the machines are fast blurring, thanks to AI. VISUAL: REHNUMA PROSHOON

Last year, a mother from Florida filed a lawsuit against an artificial intelligence chatbot, which she believed was responsible for the death of her 14-year-old son. The teenager fell head over heels in love with the chatbot. As he spent more time chatting, he slowly started withdrawing from his family and the social life around him. Low self-esteem triggered by isolation and the inability to fit in one day led him to tell the chatbot of his desire to commit suicide. And? The chatbot sort of tacitly encouraged him to do so. It immaculately emulated human emotions. But it couldn't stop him from harming himself. A costly logical error?

These days the lines between the humans and the machines are fast blurring, thanks to AI. Machines are learning, and we are relentlessly teaching. There are college courses now on how to help them learn even better. As the world gets more complex every day and time becomes more valuable, personal relationships are taking a major hit. Machines are becoming more than friends. Is the race on to make humans more like machines, or to make machines replace us? Machines can do so much in such a short time that we can be rendered almost useless in a jiffy. There are even talks about a universal pay system because many of us may not get much paid work opportunity in the future.

AI now has the ability to judge us in many instances. In a recent incident, one of my son's teachers pointed out that his assignment had been flagged by AI as being eerily similar to a newspaper article. It turned out the article in question had actually been written by none other than him. The teacher had just trusted the AI in jumping to a conclusion. The teacher realised what happened, smiled, and let him go.

I get it. With the advent of AI, life is becoming much easier for us. When I try to shop online, a chatbot seems to know more about what I want than I do myself. It rapidly whisks me to the possible product I may be after. That saves me a ton of time. This is so great that it makes going to a brick-and-mortar store so passé. When I call customer service about issues with a product, a chatbot, lurking in between, intercepts me and tries to provide a solution before I can get to a live person. Getting to a live person on the other side when the issue needs human intervention is often harder nowadays. On other occasions, AI can help just fine.

If I am time-constrained in today's busy world, AI not only makes my life easier but does almost all the things a human can; then how much human interaction do I really need?

Just a few days ago, an elderly lady thought she was getting into a taxi with a driver in it, only to realise, to her dismay, that the car was actually driving itself. It surely scared the living daylights out of her. Forget the driving part. The human interaction that could have given her comfort and a sense of companionship seems to be disappearing soon.

AI, a boon to humanity, is the future, and it is going to solve numerous problems in the years to come. But on the flip side, there are inherent risks because of the high likelihood of not being able to teach the models adequately. After all, it's not easy to fully mimic humans under all circumstances. A human would have tried to talk the American teenager out of dying by suicide. But the AI chatbot failed. On top of that, there is always the risk of rogue actors using it for ulterior motives.

Then there is the issue of imagination, the area where we can uniquely identify ourselves. AI is supposed to do many amazing things, but it seems to be taking this power away from humans. AI can now write very creatively using unbounded human imagination. So much so that many people would rather express themselves through AI. As AI evolves, its emotion spectrum will likely broaden to closely resemble that of humans. One day the machines may become smart enough to modify their own code, extricating themselves fully from human control. That scenario may pit us against them.

Don't get me wrong. I am all for the innovations and advancements in AI. In many areas, it will cut down time significantly, resulting in higher productivity. I know I will adopt many new exciting AI offerings. But I dread the increasing irrelevance of the human mind and intellect. AI is doing a great job making our lives easier, sometimes even loads of fun, enhancing possibilities, but it is also slowly taking over some of the tasks that we love to do every day, not just to stay relevant, but also to express ourselves in our own way. I love to write an email myself or describe my feelings in my own words. When I see a writing by AI, I have a hard time understanding the person it came from. Are we shunning human interactions more and more? Are we losing our capacity to make decisions for ourselves? Are we married to AI to a point where our creativity and judgment are rendered worthless, and where we no longer crave in-person interactions?

AI chatbots are also being positioned to provide therapy for mental anguish or depression. But what if they offer a dangerous path, the one I mentioned above? Would that instance be considered an isolated logical malfunction?

I am not hopelessly pessimistic, though. I marvel at human abilities. It is my belief that technology can never be boxed in. It's like the "genie out of the bottle" phenomenon. If there is a new one, it will certainly come out. AI will evolve and will be pervasive. That is a good thing when used by the good, but it can be devastating when used by the bad. There should be guardrails around it, and we should be careful with the amount of personal data we are ready to sacrifice that can be fed to the AI models. Although it excites me, I remain concerned about our future as human beings. While I embrace the new developments in generative AI to make my life easier, I want to retain my ability to express my thoughts in ways that only I know how to. I want to be relevant going forward.

By the way, this writing is solely mine. I didn't seek any assistance from AI. Do you write in your own words?

Arif Shahjahan is an IT (Information Technology) professional currently working in the United States.​
 

Unleashing AI for enhancing global competitiveness
Manmohan Parkash
Published :
Jan 20, 2025 21:31
Updated :
Jan 20, 2025 21:31

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In today's rapidly evolving global landscape, competitiveness is defined by the capacity to innovate, adapt, and effectively leverage technology. At the forefront of this technological revolution is artificial intelligence (AI), which holds the potential to transform industries, boost productivity, and reshape decision-making processes. To secure economic dominance on the global stage, nations must act swiftly to harness AI's capabilities responsibly and strategically.

AI AS A CATALYST FOR INNOVATION: Innovation is a key pillar of global competitiveness, and AI is set to redefine how industries approach research, development, and design. By analyzing vast datasets in real-time, AI can uncover patterns and insights that humans alone could never identify. This capability accelerates the pace of innovation across critical sectors like pharmaceuticals, engineering, and energy. AI-powered systems can simulate chemical reactions to identify new materials or analyze genetic data to expedite drug discovery, reducing time to market for life-saving solutions.

Countries investing in AI-driven innovation will bolster their technological sectors and will also create new industries, high-quality jobs, and solutions to pressing global challenges such as climate change and pandemics. In contrast, nations that fall behind in AI adoption risk losing their competitive edge as others surge ahead, capitalizing on these advancements to dominate the global market.

BOOSTING WORKFORCE PRODUCTIVITY: At the core of any nation's competitiveness is the productivity of its workforce. AI offers transformative potential in enhancing human capabilities. By automating routine tasks and optimizing workflows, AI frees up workers to focus on higher-value, more creative endeavors. In sectors like manufacturing, AI-driven systems can streamline production, minimize waste, and predict maintenance needs, boosting operational efficiency. In services, AI-powered tools such as chatbots and virtual assistants can handle customer inquiries and routine transactions, empowering human workers to tackle more complex and rewarding tasks.

Importantly, AI does not simply replace jobs-it enhances them. Workers can collaborate with AI to address critical issues, solve complex problems, and drive innovation. To maintain a competitive edge, countries must invest in AI workforce tools and training programs that enable employees to thrive in an AI-enhanced environment. Countries and businesses that fail to do so risk being left behind by competitors who are better prepared to integrate AI into their workforce strategies.

DATA-DRIVEN DECISION MAKING FOR EFFECTIVE GOVERNANCE: In the modern world, the ability to make well-informed, data-driven decisions is essential for effective governance. AI provides powerful tools for analyzing complex, multi-dimensional data sets, offering actionable insights that can guide policymaking. From economic planning to public health, AI can help governments predict trends, optimize resource allocation, and assess the impact of public programs.

Countries that adopt AI in policymaking will gain an unparalleled agility in responding to emerging challenges, whether economic, political, or environmental. AI's ability to process vast amounts of data quickly ensures that nations can make timely, strategic decisions that enhance governance and improve outcomes for their citizens. In a highly interconnected world, those that embrace AI-driven decision-making will gain an edge in international negotiations and trade agreements, enhancing their global competitiveness.

STRENGTHENING GLOBAL TRADE AND SUPPLY CHAINS: AI's impact extends to global trade and supply chains, where efficiency and resilience are critical. With increasing global interdependence, supply chains must be agile enough to respond to disruptions such as economic shifts or natural disasters. AI-driven technologies enable businesses to predict demand fluctuations, identify potential bottlenecks, and optimise logistics, ensuring smoother and more cost-effective operations.

By leveraging AI, countries and businesses can reduce inefficiencies, lower costs, and improve the speed and reliability of deliveries. In a competitive global market, those able to swiftly and efficiently meet consumer demands will gain a significant advantage. AI-powered supply chain management systems allow companies to be more adaptable, mitigate risks, and stay ahead of market changes, ensuring that they remain competitive in a rapidly changing world.

ENHANCING INTERNATIONAL COLLABORATION AND DIPLOMACY: The benefits of AI are not confined to national borders. Through international collaboration in AI research and development, countries can tackle complex global challenges more effectively. Cross-border partnerships in AI allow nations to pool resources, share knowledge, and accelerate advancements in areas such as public health, climate change, and cybersecurity.

Furthermore, AI can play a critical role in diplomacy by facilitating communication between nations. AI-powered translation and communication tools help break down language barriers, enabling more effective diplomatic exchanges. Countries that strategically use AI for global collaboration and diplomatic engagement will be better positioned to lead in international affairs, fostering stronger relationships and cooperation on the world stage.

STRATEGIC INVESTMENT IN AI: To unlock AI's full potential and ensure global competitiveness, nations must make strategic investments in infrastructure, education, and policy. This includes funding AI research and development, establishing ethical regulations around AI usage, and preparing the workforce for an AI-driven economy. Public-private partnerships will be crucial in accelerating innovation and ensuring the benefits of AI are widely distributed.

The nations that lead in AI adoption will set the pace for future global competitiveness, shaping industries, economies, and societies for years to come. Countries that fail to prioritize AI risk being unable to compete in an increasingly AI-driven world.

In conclusion, AI is not merely a tool for automation-it is a fundamental driver of global competitiveness. By unleashing AI's potential, nations can position themselves as leaders in innovation, productivity, and global trade. The race to harness AI is already underway, and the countries that act decisively to integrate AI into their economies and societies will determine the future of global power and prosperity. The time to invest in AI is now-those who seize this opportunity will shape the world of tomorrow.

Manmohan Parkash is a former Senior Advisor, Office of the President, and Deputy Director General, South Asia, Asian Development Bank (ADB).​
 

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