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Chinese OpenAI rival DeepSeek limits signups after ‘large-scale attack’

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Chinese AI upstart DeepSeek has reportedly limited registrations from users with a mainland China phone number after it fell victim to a “large-scale malicious attack” on Monday.

In a statement, the company says it has taken steps to “ensure continued service” but has reassured existing users that they can log in as usual.

It’s currently unclear who is behind the attack or what form it took.

The update from DeepSeek.

DeepSeek was founded by Liang Wenfeng and is owned by the hedge fund High-Flyer. It creates large language models (LLMs) that work similarly to OpenAI’s ChatGPT.

Its latest model, DeepSeek R1, was released last week and seemingly has tech markets spooked. The program is reportedly cheaper than ChatGPT, is open-source, and uses the underlying technology more efficiently.

Indeed, a former employee claimed it has improved Nvidia GPUs that are usually capped for the Chinese market when compared to Nvidia’s top products.

Nvidia reported $30.8 billion in profits from its data center enterprise last November. The emergence of DeepSeek, however, has caused its stock to fall by 16%, wiping over $500 billion from its market capitalization.

Source

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