Nvidia is touting the performance of DeepSeek’s open source AI models on its just-launched RTX 50-series GPUs, claiming that they can “run the DeepSeek family of distilled models faster than anything on the PC market.” But this announcement from Nvidia might be somewhat missing the point.

Nvidia's H800 was launched in March 2023 and is a cut-down version of the H100 It is also significantly slower than Nvidia's H200 and AMD's Instinct range These artificial constraints have forced DeepSeek's engineering to innovate It was widely assumed that the United States would remain unchallenged as the global AI superpower,

DeepSeek, the new player on the scene, is a Chinese company that has been making huge waves in AI development. Its powerful technology could change things such as healthcare, finance – and even the way we interact with the internet. Investors are excited because they see DeepSeek as a potential leader in shaping the next generation of AI tools.

B AI model on its wafer-scale processor, delivering 57x faster speeds than GPU solutions and challenging Nvidia's AI chip dominance with U.S.-based inference processing.

Nvidia's position in AI could be challenged by DeepSeek’s efficient models. Learn why NVDA stock might face challenges from the rise of GPU-agnostic AI.

No one thought the path to artificial general intelligence (AGI) would be smooth for investors, but the emergence of DeepSeek has clearly thrown a plot twist into the AI narrative. Nvidia ( NVDA -3.67%) and other AI stocks plunged on Monday,