Satya Nadella links AI’s rise to the Jevons Paradox, explaining how DeepSeek’s efficiency could drive higher demand for computing power and energy.
Microsoft CEO Satya Nadella believes that DeepSeek will inevitably help the American AI industry rather than hurt it. Microsoft chief executive Satya Nadella isn’t pressed about Chinese AI startup DeepSeek’s recent success.
The Microsoft CEO cited Jevons paradox, which stipulates increased efficiency in production drives increased demand.
In an apparent response to the attention on a new AI model out of China, Microsoft CEO Satya Nadella posted online
Meta, Nvidia, and other tech giants react to DeepSeek's competitive, cost-efficient models that challenge established market players.
OpenAI CEO Sam Altman announced a technological milestone on Friday, revealing the deployment of NVIDIA Corp.'s first full 8-rack GB200 NVL72 system on Microsoft Corp.'s Azure platform, marking a major advancement in the companies' strategic partnership.
There's a lot of noise in the AI market at the start of 2025. But Microsoft CEO Nadella has seen it all before.
Microsoft CEO Satya Nadella discusses Jevons Paradox, noting that improved efficiency in AI may boost its demand and make it a commodity. However, this could also lead to increased energy consumption as AI performs a wider range of tasks.
Chinese AI chatbot DeepSeek has displaced OpenAI’s ChatGPT as the most downloaded app on the Apple App store and the market is panicking. Stocks for major AI connected companies like NVIDIA fell on Monday morning following the news.
DeepSeek delivers high-performing, cost-effective models using weaker GPUs, questioning the trillion-dollar spend on US AI firms like OpenAI.
As with Jevons Paradox, efficiency gains should send AI use soaring as costs drop. As Microsoft’s Satya Nadella observed, what the steam engine did to coal demand is now likely to happen with AI.