In the media

Danish companies should be cautious about the Chinese AI model

By Jakob Schjoldager

Version2

31 January 2025

The new Chinese AI model, DeepSeek, has caused a stir in the tech world with its low price and impressive capabilities. However, experts warn that the model is not an attractive choice for Danish companies.

Version2 has interviewed Mads Bjørn-Møldrup, an AI and data expert at PA Consulting, who shares his assessment of why DeepSeek will not gain traction in Denmark.

He points to a general concern about AI solutions from Chinese companies and the control that may be relinquished by using them:
"I don't see many Danish companies jumping into DeepSeek. There is a general concern among companies about AI solutions from Chinese companies and how much control they are willing to give up."

In the short term, he doesn't expect DeepSeek to have much relevance in Denmark, but he acknowledges that this could change in the future. If DeepSeek has managed to develop much cheaper AI models and which need less computing power than the American players, it could impact the market:
"It will democratise access to these large AI models. If it is true that they have been able to train their models for a relatively few million dollars and with far less computing power than the big American players, it will shake up the market."

However, he doesn't expect Danish companies to start demanding DeepSeek's solutions:
"No, they won't. I also don't think Danish companies will suddenly be calling DeepSeek's sales department. But when a challenger comes along and even makes their models available as open-source, it will shake up the market and potentially allow European tech companies to challenge the American AI giants."

Overall, Mads Bjørn-Møldrup’s assessment is that DeepSeek will not gain traction in Denmark, but its development may have broader consequences for the global AI market.

Read the full article in Danish here.

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