American IT companies preferred AI DeepSeek because of its low cost

American technology companies are increasingly turning to Chinese AI models

In recent months there has been a rise in the number of American firms that are incorporating artificial intelligence models from China into their products—including DeepSeek. According to *South China Morning Post*, such solutions come at significantly lower costs than their U.S.-developed counterparts.

DeepSeek: affordability and quality

- Cost – the company offers clients substantially lower prices compared to leaders in the American market (OpenAI, Anthropic).

- Quality – performance remains high. As a result, DeepSeek has secured top positions in several developer rankings.

American companies continue to cut expenses and boost efficiency, so they prefer balanced solutions with good price‑quality ratios rather than only “the best” quality.

Open source as an advantage

- DeepSeek models are available openly: they can be downloaded, adapted, and run on a company’s own infrastructure.

- This reduces dependence on external suppliers and provides flexibility in tailoring to specific tasks.

Chinese developers have noticed growing popularity among U.S. startups and have begun releasing lighter models that are even cheaper to operate compared to typical American providers.

Why DeepSeek attracts attention

- Cost‑effective development – the company has shown how to create competitive AI models with lower resource expenditures.

- Efficient training methods – a faster and more economical model training process, which is especially important under U.S. sanctions against China.

Recently, DeepSeek raised $7.4 billion in investment, including contributions from giants such as Tencent and CATL. The company’s valuation was estimated at about $60 billion.