Alexandr Wang, CEO of Scale AI, stated on Thursday in a CNBC interview that China’s rapid advancements in artificial intelligence are significantly supported by its substantial holdings of Nvidia’s (NVDA, Financials) Nvidia H100 GPUs, intensifying the competition with the United States.
Speaking at the World Economic Forum in Davos, Switzerland, Wang underlined that DeepSeek, a top Chinese AI lab, published a novel model on Christmas Day and then DeepSeek-R1, a reasoning-oriented AI model directly rival to OpenAI’s newly published o1 model.
Emphasizing that China has a somewhat bigger number of Nvidia H100 GPUs, which are essential for constructing sophisticated AI models, Wang defined the U.S.-China competition in artificial intelligence as an “AI war”. He noted that China has had strong access to these potent artificial intelligence processors in spite of U.S. export restrictions, therefore allowing notable advancement in its AI industry. Thanks to this access, Chinese artificial intelligence models have been able to reach performance standards either on par with or above the top American models, claims Wang.
Moreover, Wang anticipated that, in line with expectations for the generative AI market, the AI sector would value $1 trillion during the next decade. He also voiced his conviction that two to four yearsa period of time still hotly contested among AI professionalsare enough to reach artificial general intelligence.
Wang underlined the need of the United States expanding its computing capability and infrastructure if it is to maintain its leadership on the global scene. Emphasizing the need of major investment and development to sustain ongoing growth and innovation in the American AI industry, he said, “We need to unleash U.S. energy to enable this AI boom.”
This article first appeared on GuruFocus.
Scale AI CEO Warns China’s AI Advancements Bolstered by Nvidia GPUs
In a recent interview, the CEO of Scale AI, Alex Wang, issued a warning about China’s rapid advancements in artificial intelligence, fueled in large part by the use of Nvidia GPUs. Wang pointed out that China has been investing heavily in AI research and development, and that Nvidia’s powerful GPUs have played a crucial role in accelerating the country’s progress in this field.
According to Wang, China’s use of Nvidia GPUs has allowed researchers and developers to train AI models at a much faster pace, giving them a significant advantage over their competitors in other countries. This, combined with China’s large pool of talented engineers and vast amounts of data, has helped the country establish itself as a leader in AI technology.
However, Wang also expressed concerns about the potential risks associated with China’s rapid AI advancements. He warned that the country’s growing expertise in AI could pose a threat to global security and stability, especially if these technologies are used for malicious purposes.
In light of these developments, Wang called for increased collaboration and transparency in the AI industry to ensure that these powerful technologies are used responsibly and ethically. He emphasized the need for greater oversight and regulation to prevent the misuse of AI tools and protect against potential risks.
As China continues to make strides in AI technology, it is clear that the country’s use of Nvidia GPUs is playing a key role in driving these advancements. However, it is also important for the international community to remain vigilant and proactive in addressing the potential risks associated with China’s growing expertise in AI.
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