DeepSeek Designs Own AI Chips, Ditching Nvidia

DeepSeek is developing custom in-house inference chips, according to a Reuters report citing three sources familiar with the plans. The initiative, roughly a year in the making, involves talks with chip design, foundry, and memory companies, plus efforts to hire experienced chip designers. The move aims to reduce dependence on Nvidia and Huawei, DeepSeek's current primary suppliers. It mirrors strategies by OpenAI and Anthropic, which are also pursuing proprietary silicon. DeepSeek's recent $7.4 billion funding round is expected to support the costly endeavor.