OpenAItold The Financial Timesthat it had evidence DeepSeek used what it called distillation to build its wildly successful chatbot.

Theres a technique in AI called distillation, Sackstold Fox News on Tuesday.

Its when one model learns from another model.

The DeepSeek AI application is seen on a mobile phone in this photo illustration taken in Warsaw, Poland on 27 January, 2025.

The DeepSeek AI application is seen on a mobile phone in this photo illustration taken in Warsaw, Poland on 27 January, 2025.© Photo by Jaap Arriens/NurPhoto via Getty Images

And they can kind of suck the knowledge out of the parent model.

Distillation is when one AI sucks off another AI.

So its a fancy word for copying.

Elon Musk, CEO of Tesla, during a cabinet meeting at the White House in Washington, DC, US, on Thursday, April 10, 2025.

And I dont think OpenAI is very happy about this.

Bloomberghad a few more details.

An OpenAI insider told the outlet that Microsoft had noticed weird activity around ChatGPTs API and flagged the company.

The MareNostrum 5 supercomputer in Barcelona.

The API calls may have been linked to DeepSeeks distillation of ChatGPT.

They noted this might violate ChatGPTs terms of service.

NVIDIA, which manufactures the chips used to train the chatbots, lost more than $500 billion.

DeepSeek iPhone App

There are still great advantages to having an enormous number of chips.

I think we need to build out these big AI data centers.

Always on message, Trumps AI czar emphasized that the reason China was catching up was twofold.

OpenAI CEO Sam Altman wearing sunglasses and holding up the peace sign while driving a golf cart.

One was burdensome regulations imposed on AI companies by Biden.

The other was that the AI companies had gotten too damn woke.

They didnt realize how close these Chinese companies were to them.

Sam Altman being interviewed by Fox Business

They wasted a lot of time on things like DEI.

You saw there was woke AI, Sacks said.

The models were basically producing things like black George Washington.

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As of this writing, DeepSeek is still number one on the App Store.

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