China’s AI company DeepSeek is set to deploy its new V4 model on cutting-edge chips developed by Huawei Technologies. In a significant development, leading Chinese technology firms such as Alibaba Group, ByteDance, and Tencent Holdings have collectively placed bulk orders amounting to hundreds of thousands of Huawei’s forthcoming chips in preparation for the model’s release.
The next-generation V4 model is anticipated to be launched within the next few weeks. DeepSeek has collaborated closely with Huawei and another domestic chip designer, Cambricon Technologies, over recent months to rewrite portions of the model’s core code, optimizing it for these Chinese-made processors. This collaboration has extended into rigorous testing phases to ensure compatibility and performance.
Additionally, DeepSeek is developing two further variants of the V4 model, each tailored for distinct functionalities and designed specifically to run on Chinese chips. This strategic focus on domestic hardware marks a shift from previous industry norms.
Earlier this year, DeepSeek diverged from standard practice by not sharing its upcoming flagship model with U.S. chipmakers for performance tuning. Instead, early access was granted exclusively to local suppliers, including Huawei. This move underscores a growing emphasis on self-reliance in China’s AI and semiconductor sectors.
DeepSeek’s prior releases of more affordable models, V3 and R1, sparked a global selloff in tech stocks last year, raising questions about the necessity for U.S. AI companies to invest heavily in AI computing power. Since then, anticipation has mounted around the V4 model, which remains unreleased but is expected to make a significant impact upon launch.
