Now, an analyst firm says that DeepSeek AI has actually spent $1.6 billion on its NVIDIA GPU fleet. As a reminder, DeepSeek claimed that training its most advanced R1 model cost only $6 million.
They are designed to scale AI “factories” to millions of GPUs connected with 1.6 Tb/s port switches, using CPO to provide short-range connections as a way to improve overall electrical efficiency.