SMRTR AIJan 5, 2026PYMNTS

DeepSeek Says AI Performance Gains Don’t Require Higher Training Costs

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DeepSeek has developed a new training method for large language models that achieves performance improvements without proportionally increasing training costs, challenging the assumption that bigger models require exponentially more expensive compute resources. The approach stabilizes the training process to eliminate inefficiencies that typically force developers to use additional compute power to manage learning instabilities and failed training runs. This breakthrough could significantly alter AI economics by making it more affordable to build specialized models for specific tasks, particularly benefiting sectors like commerce and enterprise software that require cost-effective AI deployment.

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