Key Takeaways

• DeepSeek has launched an upgraded AI model with improved logic, math, and programming capabilities.

• The new model is closing the gap between itself and industry leaders like OpenAI and Google.

• Geopolitical tensions are impacting AI development, with the U.S. planning to restrict access to critical chip design technology.

• Other Chinese tech giants like Tencent and Alibaba have also entered the race with new AI models in 2025.

DeepSeek-R1-0528: A Top-Tier AI Model

In its latest announcement, DeepSeek revealed that its R1-0528 upgrade brings noticeable advancements in logic, mathematical reasoning, and software programming.

DeepSeek’s Performance Compared to Other AI Products

Source: DeepSeek

The company claims the model’s performance is now approaching that of leading models, such as OpenAI’s O3 and Google’s Gemini 2.5 Pro.

Competing With The Best: Benchmark Comparisons

Performance data shared by the company highlight the chatbot’s competitive edge across six key benchmarks, including:

• Natural language understanding. 
• Code generation. 
• Logical inference. 
• Mathematical accuracy. 
• Context retention. 
• Reduced hallucination rate. 

While the full dataset is yet to be independently verified, DeepSeek asserts its model performs comparably to O3 and Gemini 2.5 Pro, both considered elite AI systems in the global market.

Enhanced Depth Of Reasoning

The upgrade includes a significant boost in depth of inference and multi-step reasoning, enabling more coherent and logically sound outputs.

These improvements place R1-0528 in close competition with some of the most powerful AI systems on the market today.

Rapid Growth: User Adoption & Market Reach

75 Million Downloads & Counting

Since its initial release in January 2025, the R1 model has seen explosive growth. According to Business of Apps, the AI chatbot has:

• Been downloaded over 75 million times.
• Reached 38 million monthly active users (MAUs) as of April 2025. 

Market Share Comparison

In contrast, Google’s Gemini reached approximately 350 million active users in March, while OpenAI’s ChatGPT topped the charts with an estimated 600 million users.

Source: Gemini

While DeepSeek is still catching up, its rapid ascent in user engagement is noteworthy, particularly given its more modest training budget of $6 million, compared to the hundreds of millions invested in its Western counterparts.

AI & Geopolitics: China-U.S. Tech Race Intensifies

U.S. Considers New Restrictions On AI Tech

The success of DeepSeek and other Chinese AI models comes amid geopolitical tensions between China and the United States.

In a recent report from Bloomberg, the U.S. government is preparing to restrict the sale of advanced chip design software to China. This could directly affect the AI capabilities of Chinese companies by limiting their access to the latest semiconductor technology.

Semiconductors: The Heart Of AI Innovation

Semiconductors are the critical hardware driving AI training and inference. Any disruption in access to this tech could slow down the progress of AI development, particularly in countries with limited domestic manufacturing capacity.

New Chinese AI Models Emerge In 2025

Tencent & Alibaba Enter the Arena

DeepSeek isn’t the only Chinese company making headlines. In the first few months of 2025, Tencent unveiled its T1 model, while Alibaba introduced Qwen3, both of which are also gaining momentum.

These developments underscore the intensifying China-U.S. AI race, with both countries pushing for technological supremacy in the next generation of intelligent systems.

FAQs

What is DeepSeek-R1-0528?

DeepSeek-R1-0528 is the latest version of the platforms AI chatbot. It offers enhanced reasoning, improved mathematical and programming performance, and a reduced hallucination rate.

How does DeepSeek compare to OpenAI and Google?

While still behind in total users, DeepSeek’s performance benchmarks suggest it is catching up to leading models like OpenAI’s O3 and Google’s Gemini 2.5 Pro, particularly in logic and inference tasks.

What are hallucinations in AI?

In AI, “hallucinations” refer to confidently stated but factually incorrect outputs. Reducing hallucination rates is key to improving AI reliability.

Why is chip design software important for AI?

Advanced chip design software is used to create semiconductors that power AI training and deployment. Without access to these tools, AI development becomes significantly harder and slower.