Bonfire of the LLMs: Gartner forecasts ‘extinction’ for generative AI vendors

DeepSeek has effectively destroyed OpenAI and all venture capital-driven, closed American AI marketing machines. May the whole thing rest in small pieces.

I've said it often before.

LLM's are really great for many use cases. Transcribing, translating, summarizing, editing, code generation, etc.

But the marginal difference between the cheap models like DeepSeek and the top-of-the-line is low.

So take transcribing, translating, summarizing and editing. Why would anyone spend top dollar when DeepSeek does it basically free?

The potential market for the state of the art models is very limited and will never recoup the 100s of billions being invested.