Nvidia CEO Clarifies Misconceptions on DeepSeek's Market Impact
Nvidia's founder and CEO, Jensen Huang, recently shared his thoughts on the market's reaction to DeepSeek's technological advancements, particularly its R1 open source reasoning model. In a pre-recorded interview with Alex Bouzari, CEO of DataDirect Networks, released on Thursday, Huang dismissed the notion that DeepSeek's R1 model spells doom for Nvidia's business. Instead, he described it as "incredibly exciting."
Huang pointed out that the market seemed to panic, thinking, "Oh my gosh. AI is finished," when R1 was released. He emphasized that this couldn't be further from the truth, saying, "It’s exactly the opposite. It’s [the] complete opposite." According to Huang, R1's release is a positive development for the AI market, as it will speed up AI adoption rather than diminish the need for computing resources like those Nvidia provides.
He highlighted that R1 is pushing the boundaries of what's possible in terms of model efficiency, which in turn is expanding and accelerating AI adoption. Huang also noted that despite DeepSeek's progress in pre-training AI models, the post-training phase remains crucial and demands significant computational resources. "Reasoning is a fairly compute-intensive part of it," he added.
Nvidia chose not to offer additional comments on the matter.
Huang's remarks follow DeepSeek's release of the open source version of its R1 model about a month ago, which caused a stir in the AI market and seemed to hit Nvidia particularly hard. On the day of the announcement, Nvidia's stock price fell by 16.9%, closing at $118.52 a share on January 27 after being at $142.62 on January 24, according to Yahoo Finance data. This drop resulted in a $600 billion loss in Nvidia's market cap over just three days.
However, Nvidia's stock has nearly bounced back, opening at $140 a share on Friday, recovering most of the lost value within a month. The company is set to report its Q4 earnings on February 26, which may shed more light on the market's response.
Meanwhile, DeepSeek announced plans to make five code repositories open source during an "open source week" event next week.
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Comments (42)
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![PeterMartinez]()
PeterMartinez
October 20, 2025 at 6:30:32 AM EDT
Essa discussão sobre IA me lembra quando a internet chegou nos anos 90... será que estamos subestimando o poder dos modelos open-source? 🤔 A Nvidia parece estar tentando acalmar os investidores, mas a concorrência tá acirrada mesmo!
0
![DanielWalker]()
DanielWalker
September 17, 2025 at 12:30:43 AM EDT
Nvidia a encore frappé avec ses déclarations ! 😂 Huang a l'air tellement sûr de lui en balayant les inquiétudes sur DeepSeek. Mais est-ce qu'il ne minimise pas un peu trop la concurrence ? Après tout, l'open source peut parfois créer de vraies surprises...
0
![JustinJackson]()
JustinJackson
April 17, 2025 at 10:33:24 AM EDT
A visão de Jensen Huang sobre o impacto do DeepSeek é bem interessante. Ele é tão tranquilo sobre isso, tipo 'não é grande coisa'. 😂 Aprecio a clareza, mas às vezes sinto que ele está minimizando o potencial. Ainda assim, é legal ouvir dos líderes em IA. Continue compartilhando essas percepções, Nvidia!
0
![JeffreyThomas]()
JeffreyThomas
April 16, 2025 at 1:10:54 AM EDT
La perspectiva de Jensen Huang sobre el impacto de DeepSeek es bastante interesante. Está tan tranquilo al respecto, como diciendo 'no es gran cosa'. 😂 Aprecio la claridad, pero a veces siento que está minimizando el potencial. Aún así, es genial escuchar a los líderes en IA. ¡Sigue compartiendo estas percepciones, Nvidia!
0
![KeithMoore]()
KeithMoore
April 15, 2025 at 9:28:26 AM EDT
Jensen Huang's take on DeepSeek's impact is pretty insightful. It's cool to hear from the top dog at Nvidia, but I wish the interview was more in-depth. It's a good start, but I'm left wanting more details on how this affects the market. 🤔 Still, a solid listen!
0
![JerryGonzalez]()
JerryGonzalez
April 14, 2025 at 12:42:01 PM EDT
Jensen Huang's take on DeepSeek's impact is pretty interesting. He's so chill about it, like 'nah, it's not a big deal.' 😂 I appreciate the clarity, but sometimes I feel like he's downplaying the potential. Still, it's cool to hear from the top dogs in AI. Keep sharing these insights, Nvidia!
0
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October 20, 2025 at 6:30:32 AM EDT
Essa discussão sobre IA me lembra quando a internet chegou nos anos 90... será que estamos subestimando o poder dos modelos open-source? 🤔 A Nvidia parece estar tentando acalmar os investidores, mas a concorrência tá acirrada mesmo!
0
September 17, 2025 at 12:30:43 AM EDT
Nvidia a encore frappé avec ses déclarations ! 😂 Huang a l'air tellement sûr de lui en balayant les inquiétudes sur DeepSeek. Mais est-ce qu'il ne minimise pas un peu trop la concurrence ? Après tout, l'open source peut parfois créer de vraies surprises...
0
April 17, 2025 at 10:33:24 AM EDT
A visão de Jensen Huang sobre o impacto do DeepSeek é bem interessante. Ele é tão tranquilo sobre isso, tipo 'não é grande coisa'. 😂 Aprecio a clareza, mas às vezes sinto que ele está minimizando o potencial. Ainda assim, é legal ouvir dos líderes em IA. Continue compartilhando essas percepções, Nvidia!
0
April 16, 2025 at 1:10:54 AM EDT
La perspectiva de Jensen Huang sobre el impacto de DeepSeek es bastante interesante. Está tan tranquilo al respecto, como diciendo 'no es gran cosa'. 😂 Aprecio la claridad, pero a veces siento que está minimizando el potencial. Aún así, es genial escuchar a los líderes en IA. ¡Sigue compartiendo estas percepciones, Nvidia!
0
April 15, 2025 at 9:28:26 AM EDT
Jensen Huang's take on DeepSeek's impact is pretty insightful. It's cool to hear from the top dog at Nvidia, but I wish the interview was more in-depth. It's a good start, but I'm left wanting more details on how this affects the market. 🤔 Still, a solid listen!
0
April 14, 2025 at 12:42:01 PM EDT
Jensen Huang's take on DeepSeek's impact is pretty interesting. He's so chill about it, like 'nah, it's not a big deal.' 😂 I appreciate the clarity, but sometimes I feel like he's downplaying the potential. Still, it's cool to hear from the top dogs in AI. Keep sharing these insights, Nvidia!
0
