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Fortune
Fortune
Arvind Krishna

IBM CEO: DeepSeek proved us right—AI is not about big, proprietary systems

IBM CEO Arvind Krishna. (Credit: Christopher Goodney/Bloomberg via Getty Images)

Last week, DeepSeek challenged conventional wisdom in AI. Until now, many assumed that training cutting-edge models required over $1 billion and thousands of the latest chips. That AI had to be proprietary. That only a handful of companies had the talent to build it—so secrecy was essential.

DeepSeek proved otherwise. News reports suggest they trained their latest model with just 2,000 Nvidia chips at a fraction of the expected cost—around $6 million. This reinforces what we’ve said all along: Smaller, efficient models can deliver real results without massive, proprietary systems.

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