DeepSeek AI's latest model R1 is causing industry disruption and leading to surge in AI stocks.

From Nasdaq: 2025-02-26 18:23:00

DeepSeek, a Chinese AI start-up, recently launched its latest model, R1, which is on par with top models from U.S.-based developers like OpenAI and Google. The company trained an earlier model for just $5.5 million, causing shockwaves in the industry. This development has led to a surge in AI stocks, with big tech companies like Alphabet, Meta Platforms, Microsoft, and Amazon increasing their spending on AI infrastructure. The rise of DeepSeek has created a divide in the industry, with more focus on developing cheaper AI chatbots and agents using similar techniques.

Airbnb recently acquired GamePlanner.AI, a 12-person AI company, to enhance its customer service capabilities. The company plans to leverage AI in customer support, responding to millions of requests daily in multiple languages. Airbnb aims to release AI-powered customer support this summer and expand it to search functions, eventually creating a travel and living concierge service. Despite facing challenges and underperforming compared to competitors like Booking Holdings and Expedia, Airbnb’s recent earnings report and future plans suggest potential for growth.

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