This episode delves into the buzz surrounding DeepSeek V3, a Chinese AI model that's shaking up the global AI landscape. We explore how DeepSeek achieved remarkable performance at significantly lower training costscompared to models like Meta's Llama 3, using only a fraction of the computing power. We'll discuss DeepSeek's innovative architectural designs such as Mixture-of-Experts (MoE), Multi-Head Latent Attention (MLA), and Multi-Token Prediction (MTP), and how these features contribute to its speed and efficiency. We'll also examine the potential implications of this development, including the lower cost of inference, improved consumer experience, and the possibility that DeepSeek's innovations will lead to a rethinking of capital expenditure in the AI sector. Finally, we’ll touch on the debate around DeepSeek's reliance on existing models and training methods and what this breakthrough means for the future of AI development in China and globally.