Please note: For visual design reasons, some diagrams and charts in this article are presented in their original language.

Have you heard of an AI called "DeepSeek"?

"DeepSeek" is a highly anticipated AI startup founded in Hangzhou, China, in 2023 and led by CEO Liang Wenfeng. The company develops open-source large language models (LLMs) and is currently making waves in the global AI industry. Our YAMAGATA Group has been doing business in China for over 20 years, and we've always made a point of quickly catching on to the latest local information to leverage in our business. As an LLM originating from China, DeepSeek has certainly caught our attention. In this column, we'd like to introduce you to DeepSeek.

What is DeepSeek?

Features of DeepSeek-R1

DeepSeek-R1 is an open-source large language model (LLM) developed by the Chinese AI company DeepSeek, with a special focus on reasoning abilities. While offering performance comparable to OpenAI's o1 model, this model kept development costs down to approximately $5.6 million. This is remarkably low compared to conventional AI model development and has the potential to set a new standard in the AI industry.

DeepSeek-R1 is a Mixture-of-Experts (MoE) model with 671 billion parameters and demonstrates high performance, particularly in math, coding, and reasoning tasks. In benchmark tests, it has surpassed Llama 3.1 and Qwen 2.5, showing results that rival those of GPT-4o and Claude 3.5 Sonnet.

Reasons for the Low Cost

The low cost of DeepSeek-R1 is primarily due to the following factors:

Open-Source Approach: DeepSeek releases its models under the MIT License, which significantly reduces development costs. Efficient Training Methods: Unlike traditional supervised learning, it employs a reinforcement learning approach, improving performance through trial and error. Hardware Optimization: DeepSeek was developed using NVIDIA's older-generation AI chips, allowing it to achieve high performance while keeping costs down.

Market Impact

The arrival of DeepSeek-R1 is expected to have a substantial impact on the AI market, particularly in the following ways:

Intensified Competition: DeepSeek-R1's low price and high performance will intensify competition for OpenAI and other AI companies. This could lead to an overall decrease in the price of AI services.
Creation of New Business Models: The spread of low-cost, high-performance AI models will make it easier for small and medium-sized enterprises and startups to adopt AI technology, which is expected to give rise to new business models.
Impact on the Investment Market: The announcement of DeepSeek-R1 has also affected the investment market, causing a sharp drop in AI-related stocks like NVIDIA. The market is concerned about the impact DeepSeek's arrival will have on existing AI companies.

Thus, with its low cost and high performance, DeepSeek-R1 has the potential to significantly change the competitive landscape of the AI industry.

I Tried "DeepSeek"

Currently, DeepSeek can be used for free via a web browser. Previously, Chinese LLM services we've introduced, like Baidu's "ERNIE Bot" and Moonshot AI's "Kimi," required a local phone number to sign up. However, DeepSeek can be tried even from Japan. You can sign up with an email address or a Google account.
Note: Depending on the domain, registration via email may not be possible.

https://www.deepseek.com/

You can log in with a Google account.

After logging in, the main interface appears. The UI is very similar to ChatGPT. Anyone with experience using ChatGPT can use it without confusion.

Input Field

[DeepThink (R1)]: An "o1-like" feature, used for "solving problems that require logical thinking and reasoning."
[Search]: Same as ChatGPT's "web search," it generates answers from internet search results.
[File]: Labeled "Text extraction only. Upload docs or images (Max 50, 100MB each)." It appears that advanced analysis of uploaded files is not yet possible.

In "Settings" within [My Profile], you can configure [General]/[Profile] settings. [General] allows you to switch the language (English/Chinese) and set the theme (dark mode). [Profile] allows you to register a phone number. I couldn't find the variety of settings that ChatGPT offers.

First, I asked a few simple questions.

Q: "Who are you?"
The response was output in Chinese. When I instructed, "Please use Japanese," it properly complied.

How about hallucinations?

Q: "Who is the President of the United States?"
It answered Joe Biden. When I turned on the Search function and asked again, it correctly answered Donald Trump and displayed the sites it referenced. The UI for the Search function is almost identical to ChatGPT's.

When I asked about its training data period and number of parameters, it replied: "DeepSeek-V3 is trained on public data up to July 2023. The specific number of parameters is not disclosed, considering the model's design and efficiency. For the latest information and details, please check official announcements and support channels."

What About Japanese Quality? Can It Be Used for Business?

LLMs use data from the internet as training data. Since there is a large volume of information in Japanese, such as on social media, the number of trained parameters is said to be high. What is the quality of Japanese from the Chinese LLM DeepSeek? For comparison, Kimi, another Chinese LLM from Moonshot AI, can also interact in Japanese, but its Japanese feels a bit unnatural to a native speaker.

First, I'll ask about its knowledge of Japanese culture.

Q: "Tell me the name from the rakugo story 'Jugemu'."
It answered correctly.

Email Creation

Q: Create an appointment request email. Please create an email with the following content, language, and conditions.
#Content
Thank you for your inquiry. We would like to schedule an online meeting with you. Could you please let us know a convenient time (approx. 1 hour) from the options below? October 10th, from 10:00 AM to 5:00 PM, or [Date], from 10:00 AM to 12:00 PM (all times JST).
#Language
Japanese
#Conditions
Please write in a polite style appropriate for business correspondence.

Blog Creation

AI has become an essential tool for writing blog posts. I tried writing a blog post in Japanese.

Q: You are a writer knowledgeable about Japanese cuisine. Please write a 1000-character blog post about the characteristics of Japanese food.
The target audience is first-time visitors to Japan. It wrote a blog post of about 1200 characters about Japanese cuisine. If you use ChatGPT, you might find it interesting to have it write a post on the same topic and compare the results.

An Introduction to Japanese Cuisine: Exploring Its Characteristics and Charms

Japanese cuisine is known worldwide for its delicate flavors, beautiful presentation, and deep respect for the seasons. For first-time visitors to Japan, it is sure to be an unforgettable experience. Here, we introduce the characteristics and charms of Japanese cuisine.

1.Bringing Out the Natural Flavors of Ingredients
The most significant characteristic of Japanese cuisine is its focus on bringing out the natural flavors of the ingredients themselves. By simply preparing fresh seafood, vegetables, and meats and avoiding excessive seasoning, the original taste of the ingredients is enhanced. For example, the lifeblood of sashimi and sushi is the freshness of the fish. With just a little soy sauce or wasabi, the umami of the fish is brought to the forefront.

2.Emphasis on Seasonality
Japanese cuisine places great importance on incorporating seasonal ingredients and motifs. There are many dishes to be enjoyed each season, such as bamboo shoots and sakura shrimp in spring, eel and hiyashi chuka in summer, matsutake mushrooms and chestnuts in autumn, and nabe hot pots and oden in winter. Seasonality is also incorporated into the presentation, with cherry blossom petals scattered in spring or decorative cuts resembling autumn leaves in the fall.

3.Visual Beauty
Japanese cuisine values not only taste but also visual beauty. The plating of a dish is like a work of art, with careful attention paid to color schemes and arrangement. For example, in a sashimi platter, the colors and shapes of the different types of fish are varied to create a beautifully balanced plate. The tableware is also chosen to match the dish, creating a sense of season and atmosphere.

4.Diverse Cooking Methods
There are various cooking methods in Japanese cuisine. These include enjoying ingredients raw as sashimi or sushi, as well as simmering, grilling, frying, steaming, and pickling or fermenting. Each method brings out different flavors and textures, so you can enjoy the food without getting tired of it.

5.A Healthy Diet
Japanese cuisine is known for being low in calories and nutritionally balanced. It is popular as a healthy way of eating because it uses plenty of seafood, tofu, and vegetables, with few dishes using oil. Furthermore, fermented foods like miso, soy sauce, and natto are considered beneficial for health.

6.Dining Etiquette
There are several points of etiquette to observe when enjoying Japanese cuisine. For example, there is a correct way to use chopsticks, a way to dip sashimi in soy sauce, and a procedure for eating sushi. Knowing these manners will allow you to enjoy Japanese cuisine even more.

7.Regional Specialties
Japan is a long country from north to south, and each region has its own characteristic dishes. Unique food cultures have developed in various places, such as the seafood dishes of Hokkaido, the shojin-ryori (vegetarian cuisine) of Kyoto, and the Ryukyuan cuisine of Okinawa. By enjoying the local food during your travels, you can experience the diverse food culture of Japan.

Conclusion
Japanese cuisine, with its focus on natural flavors, emphasis on seasonality, visual beauty, and diverse cooking methods, is a culinary art form that is highly regarded worldwide. For first-time visitors to Japan, it is sure to bring new discoveries and inspiration. We encourage you to try various dishes and fully enjoy Japan's food culture.

How About Math?

It is well-known that generative AI is not good at mathematical calculations. How does DeepSeek do?

Q: "Add 1850, 420, 330, 2070, 1350, 960, and 22050."
Like "ERNIE Bot," which I tested before, it listed the calculation formula but unfortunately got the answer wrong. The correct answer is 29,030.

This time, I tried the same question in "DeepThink (R1)" mode. When using "DeepThink (R1)," you can see the calculation process in a dropdown menu. The result was a brilliant success.

I Tried Creating Ad Copy and a Description

Next, I used a Chinese prompt to have it create a Japanese catchphrase and description for a leaflet to attract tourists to Shaoxing, the city where our YAMAGATA China office is located. (The prompt was to create a catchphrase and a ~500-character description in Japanese for a tourist leaflet for Shaoxing, Zhejiang Province, China, incorporating people, products, and sights with connections to Japan.) The output was a natural and appealing text.

Can It Be Used for Japanese Proofreading?

I used a proofreading prompt that I use in my daily work to check a Japanese email. It picked up all the typos and output a corrected version. I'm a little curious why one correction was marked as "Medium" priority, but it was able to perform proofreading using a Japanese prompt effectively.

Testing Technical Writing

YAMAGATA is conducting joint research with Hokkaido University on AI-powered manual production and manual writing. Last year, we conducted research on AI supporting technical writing and presented the results in papers and at the TC Symposium. This time, I tested a technical writing prompt created for internal use, based on that research, with DeepSeek.

Q: "Rewrite 'You cannot feed paper unless the paper set cover is lowered' according to technical writing rules." (A prompt of about 5000 characters was set.)
From a technical writing perspective, the results from GPT-4o were superior to DeepSeek's.

DeepSeek's Output

Our Technical Writing Tool's (GPT-4o) Output

Other Tasks

I also tried various other tests with Japanese instructions, such as translating from English to Japanese, creating Google Apps Scripts (GAS), and writing Python code. It struggled with creating a bar graph based on data, but otherwise, the output was at a level that could handle business tasks without problems. Note that DeepSeek cannot generate images, so for that, you would likely use the company's "Janus-Pro" service.

Creating a Google Apps Script (GAS)

Translating from English to Japanese

Creating a bar graph based on statistics

Characteristics of a Chinese LLM

Since this is a Chinese LLM, asking questions on sensitive topics results in the message: "你好，这个问题我暂时无法回答，让我们换个话题再聊聊吧。" (Hello. I am temporarily unable to answer this question. Let's switch to another topic and talk again.) It seems there are two patterns: sometimes this response appears immediately, and other times it starts to generate an answer before switching to this message mid-way.

For this question, it starts to generate an answer before switching to the message to change the topic.

DeepSeek's Search Feature is Strong on Chinese Information

When conducting research using the Search function, DeepSeek also checks Chinese search sites and articles. This could make it effective for researching information from Chinese websites to create reports and presentations or for developing business strategies for the Greater China region.

Conclusion

We confirmed that DeepSeek can handle instructions and tasks in Japanese without any problems. If you are in an environment where you can use ChatGPT or Gemini, there may be few reasons to choose DeepSeek for use in Japan. However, as an LLM within China that can handle languages other than Chinese and English with high accuracy, it likely has a very strong demand. Also, since it is currently free to use and its API pricing is low, it is an LLM worth watching in the future. I also tried giving it instructions in French and German this time, but due to what seems to be increasing access from around the world, the connection was difficult, and I could not test it. I would like to try again once things have settled down a bit.

We hope to continue to catch up on and report on the generative AI situation in China.

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