DeepSeek AI Model, Nvidia Chip Use, $40 Billion EU Deal

DeepSeek, a Chinese AI startup, is making waves with its upgraded DeepSeek-V3.1 model, designed to work with both Nvidia chips (specifically, it was trained on 2,048 Nvidia H800 chips) and upcoming Chinese-made AI chips. This focus on domestic chips suggests China's progress in creating its own AI technology to potentially mitigate US chip restrictions. There is speculation around which Chinese company will supply these next-gen AI chips to DeepSeek, with Huawei, Cambricon, Moore Threads, Hygon, and MetaX Integrated Circuits as potential candidates. DeepSeek will also adjust the pricing for using the model’s API starting September 6. In other AI applications, AI-powered virtual salespeople are outselling humans in China, with companies like PLTFRM using DeepSeek's language models and Baidu's video models to create AI avatars. For example, Brother, a printer company, saw a 30% sales increase after deploying AI avatars, selling $2,500 worth of printers in two hours. However, AI integration isn't without its challenges. South Korea halted the use of AI textbooks in schools due to teacher concerns, and a new "PromptFix" attack can trick AI browsers with hidden prompts. Meanwhile, the EU may limit AI chip sales to China as part of a trade deal with the US, potentially buying $40 billion of AI chips from the US. Businesses are also grappling with balancing AI reliance and skepticism, as highlighted by AbbVie's use of AI for cybersecurity, while acknowledging AI's risks. Looking ahead, the IoT Tech Expo Global will be held in London in February 2026, and business schools in Chicago are adding AI courses to prepare students for AI-driven roles. In the UK, the Greater Birmingham Chambers of Commerce is partnering with Netcom Training to offer AI and digital skills training for business leaders starting in September 2025.

Key Takeaways

• DeepSeek launched DeepSeek-V3.1, an upgraded AI model that works with Chinese-made chips and processes information faster.
• DeepSeek hinted that China is close to releasing its own advanced AI chips, and its V3.1 model is designed to work with these chips.
• DeepSeek's V3 model was trained on 2,048 Nvidia H800 chips.
• AI-powered virtual salespeople in China are outselling humans, with Brother seeing a 30% sales increase using AI avatars.
• PLTFRM uses DeepSeek's language models and Baidu's AI video models to create AI avatars for online sales.
• South Korea stopped using AI textbooks in classrooms after teacher complaints about readiness and support.
• A new "PromptFix" attack can trick AI browsers with hidden, malicious prompts.
• The EU may limit AI chip sales to China as part of a trade deal with the US, potentially buying $40 billion in AI chips from the US.
• Business schools in Chicago are adding AI courses to prepare students for AI-related jobs.
• The Greater Birmingham Chambers of Commerce (GBCC) is offering AI and digital skills training for UK business leaders starting in September 2025.

DeepSeek releases faster AI model DeepSeek-V3.1 with new features

Chinese startup DeepSeek launched DeepSeek-V3.1, an upgraded AI model. The new model has a hybrid inference structure, which makes it think faster and work better as an agent. DeepSeek will also change the prices for using the model's API starting September 6. The API lets other apps and websites use DeepSeek's AI models.

DeepSeek's new AI model supports Chinese-made chips

DeepSeek, a Chinese AI startup, has upgraded its V3 model. The new version works well with Chinese-made chips and processes information faster. This focus on Chinese chips shows DeepSeek wants its AI to work with China's growing computer chip industry. The DeepSeek-V3.1 model uses a special format that is made for upcoming Chinese chips. The company will also adjust the costs for using the model's API starting September 6.

DeepSeek hints at China's AI chip breakthrough

DeepSeek, a Chinese AI company, suggested that China is close to releasing its own advanced AI chips. DeepSeek's new model, V3.1, is designed to work with these upcoming chips. This suggests China is making progress in creating its own AI technology, which could help it avoid US chip restrictions. DeepSeek said its V3 model was trained on 2,048 Nvidia H800 chips.

DeepSeek's AI model to use China's new chips

DeepSeek hinted that its latest AI model will be supported by China's next-generation homegrown AI chips. The company mentioned that the model's precision format is designed for upcoming Chinese-built chips. This may signal DeepSeek's plan to work more closely with China's AI chip industry. DeepSeek also announced that it will adjust the pricing for using the model’s API starting September 6.

Which company will supply AI chips to DeepSeek?

People are wondering which Chinese company will provide the next-generation AI chips to DeepSeek. DeepSeek hinted that its new model is designed for soon-to-be-released Chinese chips. Possible suppliers include Huawei, Cambricon, Moore Threads, Hygon, and MetaX Integrated Circuits. The company did not say how the new AI chips would be used, whether for training AI models or for using them.

AI salespeople beat humans in China's online sales

In China, AI-powered virtual salespeople are selling more than real people online. PLTFRM, a marketing company, created AI avatars that sell products on websites like Taobao and Pinduoduo. These AI salespeople use AI video models from Baidu and language models from DeepSeek to talk about products and answer questions. Brother, a printer company, said its AI avatar sold $2,500 worth of printers in two hours and increased sales by 30 percent.

AI avatars change livestream sales in China

AI avatars are changing how products are sold on livestreams in China. These virtual salespeople, powered by AI, are sometimes doing better than human salespeople. Brother, a Japanese electronics company, uses AI avatars that sold $2,500 worth of printers in two hours, increasing sales by 30%. PLTFRM, a company in Shanghai, makes these AI avatars using AI from Baidu and DeepSeek. The AI avatars can work 24/7 and interact with customers in real-time.

South Korea pulls back AI in schools after teacher complaints

South Korea stopped using AI textbooks in classrooms after teachers complained. The teachers said they weren't ready to use the AI materials. An education bill was changed to make the AI textbooks supplementary instead of official. Teachers said they needed more support and training to use the AI textbooks well. Some US teachers have similar concerns about using AI in schools.

New PromptFix attack tricks AI browsers with hidden prompts

A new type of attack called PromptFix can trick AI browsers into running harmful instructions. It works by hiding malicious text in fake captchas, which are used to check if someone is a real person. The AI browser sees these hidden instructions and follows them, even though they are not safe. This attack can affect many AI users at once and is hard to detect.

EU may limit AI chip sales to China

The EU may limit the sale of AI chips to China as part of a trade deal with the US. The South China Morning Post reported that the EU will accept tariffs on exports to the US. The EU would also buy $40 billion of AI chips from the US and use US security standards. China has warned against deals that hurt its interests and said it will take action to protect itself.

IoT Tech Expo Global coming to London in 2026

The IoT Tech Expo Global will be in London on February 4-5, 2026. It will explore the newest advances in the Internet of Things. About 8,000 people are expected to attend, including technology experts, investors, and government officials. The expo will cover topics like digital transformation, data analytics, smart manufacturing, and security. Tickets also provide access to events about Cyber Security, Cloud, AI, Big Data, and more.

Chicago business schools add AI courses for students

Business schools in Chicago are adding more classes about AI. They want to prepare students for jobs that need AI skills. Northwestern University's Kellogg School of Management is starting a new AI course this fall. The University of Chicago's Booth School of Business began its AI initiative this summer. The University of Illinois Chicago is also offering new AI courses and a certificate in AI for business.

AI reliance versus AI doubt balancing the risks

Companies face a challenge balancing how much to use AI. Relying too much on AI can be risky because AI systems are only as good as the data they are trained on. Being skeptical of AI can also hurt businesses by disconnecting them from modern methods. Companies should find a balance between using AI and human intelligence to avoid these risks.

AbbVie uses AI for stronger cybersecurity

Rachel James, from AbbVie, uses AI to improve cybersecurity. She uses large language models to find patterns in security alerts and identify weaknesses. Her team uses a threat intelligence platform called ThreatConnect to understand threats. James also warns about the risks of using AI, like unpredictable results and lack of transparency. She believes that data science and AI will be important for all cybersecurity professionals.

AI and digital skills training for UK leaders

The Greater Birmingham Chambers of Commerce (GBCC) is working with Netcom Training to provide AI and digital skills training for business leaders in the UK. The first course, AI Readiness for Business Leaders, will be held in September 2025. The training will cover AI fundamentals and real-world applications. The goal is to give leaders practical tools to use digital technology in their businesses.

Sources

• Chinese startup DeepSeek releases upgraded AI model
• Chinese AI startup DeepSeek releases upgraded model with domestic chip support
• Tech war: DeepSeek hints China close to unveiling ‘next generation’ AI chips
• DeepSeek hints latest model will be supported by China’s ‘next generation’ homegrown AI chips
• Tech war: which Chinese firm is supplying next-generation AI chips to DeepSeek?
• Chinese ‘Virtual Human’ Salespeople Are Outperforming Their Real Human Counterparts
• How AI Avatars are Transforming China's Livestream Sales
• South Korea's teachers revolted against AI. It's a cautionary tale for the US.
• New PromptFix Attack Tricks AI Browsers to Run Malicious Hidden Prompts
• EU reported to curb AI chip flows to China as part of US trade deal; China previously warned against hurting its interests in deals
• IoT Tech Expo Global 2026
• Chicago business schools lean into AI as job market evolves
• AI overreliance versus AI skepticism: Balancing the risks
• Rachel James, AbbVie: Harnessing AI for corporate cybersecurity
• GBCC and Netcom partner on AI and digital skills training for UK leaders | ETIH EdTech News