How DeepSeek Proved That the AI Race Will Be Won by Those Who Provide Scalable and Sustainable Compute Power

Stephen Amagba
|
Jan 31, 2025
How DeepSeek Proved That the AI Race Will Be Won by Those Who Provide Scalable and Sustainable Compute Power

DeepSeek’s Big Moment and the AI Industry’s Wake-Up Call

In a rapidly evolving tech landscape like artificial intelligence, breakthroughs are happening at a dizzying pace. The competition to develop the most advanced models is fierce, with companies like OpenAI, Google DeepMind, and Anthropic leading the charge. But recently, a new player has also entered the race: DeepSeek. This Chinese AI company has disrupted the status quo, challenging the dominance of Western AI giants with its own large-scale language model, DeepSeek-V2.

The real story behind DeepSeek, however, is not just about AI innovation. In our opinion, it’s about power. Not power in the corporate sense, but in the most literal sense: computational power. The AI race is no longer just about who can develop the smartest model, but who can access the computing resources necessary to train and run these models at scale and sustainable costs. DeepSeek’s rise has brought an undeniable truth into the spotlight — the future of AI will be decided by those who can scale their compute infrastructure sustainably and affordably.

This realization and shift in perspective are game-changers. They expose a major bottleneck in AI development that is currently overwhelming traditional cloud infrastructure. We at GAIMIN have been hammering on this “weak point” for a while now, so much so that it’s our core business model. The question now becomes, who will solve this growing problem and unlock the next frontier of AI innovation?

Enter GAIMIN! We are building a decentralized cloud computing network powered by one of the world’s largest yet underutilized ‘goldmine’ of GPU and CPU power — Gaming PCs. GAIMIN is leveraging the idle power of these gaming GPUs to provide scalable and cost-efficient AI computing power. But to understand why GAIMIN saw so much potential in gaming hardware as a solution, you need to understand how big of a problem we anticipated when we juxtaposed the growing demand for cloud computing with the available supply traditional providers offer at the moment. So let’s dive deeper.

Robot With Money

The AI Bottleneck: Why Compute Power is the True Battleground

For years, AI breakthroughs have been framed in terms of improvements in model architecture and smartness of algorithms. The public is fascinated by the capabilities of ChatGPT, Gemini, Claude, and now DeepSeek. However, behind the scenes, the real battle is being fought over compute power.

The Unseen Costs of AI Training

Every major AI model requires massive computational resources to train. Think of training an AI model as teaching a toddler new things about the world around them. You keep showing them the basic stuff and enough of it in the hope that they start seeing the patterns in order to figure out future scenarios. But this training process for AI models comes at huge costs. OpenAI’s GPT-4, for example, is estimated to have required tens of thousands of high-performance GPUs running continuously for weeks or even months. The cost of such an operation for just one model can easily reach tens of millions of dollars, with costs projected to keep growing for higher models.

The primary providers of AI compute power are centralized cloud giants: Amazon Web Services (AWS), Google Cloud, and Microsoft Azure which are powered by the billions of dollars worth of GPUs that they are constantly acquiring, mostly from Nvidia, to power their centralized servers. While these platforms are powerful, they come with severe limitations:

  • Skyrocketing Costs: AI companies must spend enormous amounts of money to train and deploy their models, as the supply of GPUs keeps getting scarce.
  • Resource Shortages: With demand far outpacing supply, access to high-performance GPUs is becoming increasingly difficult.
  • Centralization Risks: AI firms relying on a few cloud providers risk being priced out or even restricted from access.

DeepSeek’s rapid rise has only accelerated this crisis. The more competitors enter the AI race, the more compute power will be required. If this problem remains unsolved, innovation in AI will slow down — not because of a lack of ideas, but because of a lack of infrastructure.

What Really Happened with DeepSeek?

DeepSeek

DeepSeek is a Chinese-originated artificial intelligence company based in Hangzhou, Zhejiang, founded in 2023 by Liang Wenfeng. The company has gained significant attention for developing open-source large language models (LLMs) that rival those of established Western firms at an alleged incredible fraction of the cost it took their competitors.

In January 2025, DeepSeek released its chatbot app, based on the DeepSeek-R1 model, for iOS and Android platforms. By January 27, the app had surpassed OpenAI’s ChatGPT as the most downloaded free app on the U.S. iOS App Store. This rapid ascent led to a significant sell-off in AI-related tech stocks, with companies like Nvidia, Microsoft, and Alphabet experiencing substantial market value losses.

OpenAI has raised concerns that DeepSeek may have utilized a technique called “distillation” to develop its models. This process involves using outputs from larger models to train smaller ones. The emergence of DeepSeek has intensified the technological competition between China and the United States in the AI sector; some analysts have dubbed this development as AI’s “Sputnik moment”.

AI Green Energy

GAIMIN: The Scalable and Sustainable Solution to AI’s Compute Problem

The AI industry needs an alternative; a system that can provide scalable, decentralized, and sustainable compute power. That’s where GAIMIN comes in.

GAIMIN is a decentralized cloud computing network that harnesses the underutilized power of high-performance GPUs to create an affordable, scalable, and globally distributed computing infrastructure. By tapping into a massive pool of underutilized computing resources, GAIMIN offers AI developers a compelling alternative to centralized cloud providers.

Why GAIMIN is the Future of AI Compute

1. Infinite Scalability Through Decentralization

Unlike traditional data centers, which require massive capital investment to expand, GAIMIN’s network grows organically as more gamers and PC owners contribute their computing power. Every additional user strengthens the network’s capabilities, creating a self-sustaining, ever-expanding ecosystem. When they upgrade their computers, which is around every 4 years for the average gamer, our network also upgrades as well to match the computing demands of that time.

2. Unmatched Cost Efficiency

By utilizing existing hardware rather than relying on expensive dedicated data centers, GAIMIN can offer AI compute services at a fraction of the cost of AWS, Google Cloud, and Azure. This makes AI innovation accessible to more startups and researchers, not just tech giants with deep pockets.

3. Sustainable AI Compute Infrastructure

Training large AI models is notoriously energy-intensive, but GAIMIN provides a green alternative by using existing computing resources more efficiently. Instead of building more energy-hungry data centers, GAIMIN optimizes idle hardware, reducing the environmental impact of AI development.

Robot With Money In Factory

The DeepSeek Wake-Up Call: Why Decentralized AI Compute is the Future

The rise of DeepSeek has demonstrated that there is no single dominant force in AI anymore, and there might not need to be. While the field is becoming increasingly competitive, we hope that it turns into a healthy one that will foster more collaboration — because all players in this industry are faced with almost the same problem: access to scalable computing power.

What DeepSeek’s Rise Tells Us About the Future of AI

  • The AI industry is growing faster than traditional cloud providers can accommodate.
  • Compute shortages will favor those who can access alternative, decentralized compute resources.
  • Open-source and independent AI projects will struggle to survive unless they can find cost-effective ways to train and operate their models.

This is exactly where GAIMIN’s decentralized cloud computing solutions become indispensable. GAIMIN Cloud significantly reduces costs, scales operations faster, and breaks free from dependence on centralized cloud giants.

What’s Next? GAIMIN’s Vision for the Future of AI Compute

As AI models become more sophisticated, the need for decentralized, on-demand compute power will only grow. GAIMIN is already laying the foundation for the next wave of AI development:

  • AI startups and research teams will be able to train models and transmit files at a fraction of the cost of traditional cloud solutions.
  • Enterprises will gain access to a scalable, censorship-resistant computational network that can support AI training, inferencing, and fine-tuning.
  • Developers and gamers contributing their GPU power to GAIMIN will not only earn rewards but will also help build the future of AI infrastructure.

The AI Race is Not Just About Models — It’s About Who Can Power Them

DeepSeek’s rapid rise has proven that AI innovation is accelerating worldwide. But the real challenge ahead isn’t just building better models — it’s finding the infrastructure to power them.

The future of AI will not just be determined by who has the smartest models, but also by who has the ability to scale compute sustainably and cost-effectively.

GAIMIN is the solution! By decentralizing AI computing, GAIMIN can help ensure that the next generation of AI isn’t limited by resource constraints. If AI is the engine of the future, GAIMIN is seeking to fuel that future.

Want to learn more about GAIMIN and how we are revolutionizing AI computing, starting with our very own AI API models? Join us in building the future of decentralized AI infrastructure today at Gaimin Cloud.

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