DeepSeek Impact Makes OpenAI Rethink Open Source — Sam Altman Hints At Major Changes In Model Development

OpenAI is contemplating a shift in its open-source strategy as it faces mounting competition from Chinese companies like DeepSeek.

What Happened: On Friday, during a Reddit AMA, OpenAI CEO Sam Altman acknowledged that DeepSeek has narrowed OpenAI’s lead in AI.

"I personally think we have been on the wrong side of history here and need to figure out a different open source strategy," he stated, adding, "Not everyone at OpenAI shares this view, and it's also not our current highest priority."

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“We will produce better models [going forward], but we will maintain less of a lead than we did in previous years.”

Kevin Weil, OpenAI’s chief product officer, mentioned the possibility of open-sourcing older models that are no longer cutting-edge.

OpenAI is also exploring ways to reveal more about its models’ reasoning processes, a move influenced by DeepSeek’s transparent approach.

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Why It Matters: The shift in OpenAI’s strategy comes amid a broader debate over open-source versus closed-source AI models.

Elon Musk and Meta Platforms, Inc. META CEO Mark Zuckerberg has criticized closed model providers like OpenAI for lobbying against open source AI.

This debate intensified when Meta supported Musk’s stance against OpenAI’s for-profit transition.

Despite the competition from DeepSeek, OpenAI’s valuation remains strong. Earlier this month, it was reported that SoftBank Group was reportedly in talks to lead a $40 billion funding round for OpenAI, valuing the company at $300 billion.

Photo courtesy: Shutterstock

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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.