Beijing, China – In a move that could reshape the AI industry, Chinese startup DeepSeek has announced plans to launch its next-generation AI model, DeepSeek R2, months ahead of schedule. The company’s rapid progress has already sent shockwaves through the global tech sector, with its first model proving that cutting-edge AI can be developed at a fraction of the cost of U.S. counterparts. Key Developments: • DeepSeek’s R1 model, released in January, outperformed major Western AI models in language processing and reasoning tasks. • The company's upcoming R2 model is expected to enhance coding capabilities and support more languages. • DeepSeek has drawn attention from both Chinese regulators and global investors, with some comparing its rise to OpenAI’s disruptive impact. Why It Matters: This development marks a major shift in AI leadership, with China proving that sophisticated models can be built with fewer resources. Western firms are now scrambling to accelerate their own AI projects, as DeepSeek’s technology could lower the cost of AI deployment worldwide. Crofam Tech Alerts DeepSeek’s AI

Several major companies, including Meta, Microsoft, and Wayfair, have announced layoffs this year, reflecting ongoing workforce reductions across sectors like technology, media, and finance. This trend is influenced by the increasing adoption of artificial intelligence (AI), with many companies expecting to reduce staff over the next five years. Notable layoffs include Meta's undisclosed performance-based terminations, Microsoft's unspecified performance-based layoffs, and Wayfair's reduction of around 340 tech workers