“DeepSeek can’t even exist without Openai” – ‘Doctor Doom explains why inflation and AI are in the process of collision

The rise of China DeepSeek And suspected of using Openai Models create ripples, but economists Nouriel Roubini Warnings say inflation risks and economic volatility may mask its impact.

what happened: Roubini spoke with Yahoo Finance on Wednesday. In order to accurately predict the financial crisis in 2008, the emergence of “doom” was “evolution, not a revolution.”

Roubini doesn’t believe DeepSeek fundamentally destroys the AI ​​landscape. He believes that AI companies still rely on basic models developed Openai and Nvidia Corporation.

“Without Openai, DeepSeek wouldn’t even exist,” Roubini said.

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Before Trump’s victory, Roubini saw the economy heading towards an internationally-free situation rather than the expected soft landing. He pointed out some Donald Trump Policies such as deregulation, tax cuts and increased production of fossil fuels may boost growth and reduce inflation. However, others may have the opposite effect.

He stressed that immigration, trade and tariffs are policies with direct economic impacts, and growth-friendly measures may take a year to show results.

Rubeni’s statement comes after inflation data emerged on Wednesday. The consumer price index rose 3% year-on-year in January, higher than the 2.9% forecast. From December to January, the monthly CPI grew by 0.5%, up from 0.4% in the previous report.

Roubini said the current economic landscape is still vulnerable to higher inflation and rising bond yields, which could lead to AI-driven growth achieving previous stock market corrections.

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Why it matters: Last month, Openai accused China’s DeepSeek of using unauthorized training techniques, including knowledge distillation from its proprietary models.

Trump AI consultant David Sacks supported the claim in an interview, saying “there is a lot of evidence” DeepSeek replicated Openai’s breakthrough.

Technology giants like it Amazon,,,,, Microsoft,,,,, letterand Yuan AI infrastructure this year is about $320 billion, up from $246 billion in 2024.

But DeepSeek’s cost-benefit model shocked Wall Street, raising concerns that falling AI could erode large investments in Big Tech.

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