Trump: The rise of DeepSeek should sound the alarm for American enterprises.

Author: Wu Yu, Jinshi Data

US President Trump said on Monday that the sudden rise of China’s artificial intelligence application DeepSeek “should sound the alarm for US technology companies,” and that it is a good thing that Chinese companies have developed cheaper and more efficient AI models.

Trump said he still expects American technology companies to dominate the field of artificial intelligence, but he acknowledges the challenges brought by the low-cost AI assistant DeepSeek. Over the past weekend, DeepSeek soared to the top of the Apple App Store.

“A Chinese company launching DeepSeek AI should sound an alarm for our industry, we need to focus on competition,” he said while traveling in Florida.

DeepSeek has caused panic in the US tech industry and stock market. According to the little-known Chinese startup behind DeepSeek, it performs well in tests compared to the competitive models of Meta and OpenAI, and its development cost is much lower.

Mr. Trump said he thought the low-cost model was a “very positive development” for the AI industry as a whole, because “instead of throwing billions of dollars, it’s better to spend less [resources] and hopefully come up with the same solution.” ”

DeepSeek is the latest in a series of Chinese applications that have recently surged in popularity in the United States in the past few weeks. Previously, as TikTok was on the brink of being banned, Americans turned to Chinese applications Xiaohongshu and Lemon8 as alternatives to TikTok.