DeepSeek hits the gas: lower cost, more context, and an awkward rival for OpenAI

Last update: 02/10/2025

  • DeepSeek-V3.2-Exp released, an intermediate step toward its next architecture
  • New DeepSeek Sparse Attention mechanism for long contexts and lower computation
  • Available on the app, web, and API with a price reduction of more than 50%.
  • Competitive pressure and adaptation to Chinese chips, with FP8 support and work on BF16
DeepSeek V3.2-Exp

Built on V3.1-Terminus, the new model DeepSeek V3.2-Exp introduces a dispersed attention approach which seeks to reduce the computing load without sacrificing quality. According to the company, API prices drop by more than 50% with immediate effect, and access It is now available in your app, the web and via API, in addition to being offered in the format of open source on development platforms such as hugging face.

Technical innovations: scattered attention and long context

Sparse attention technology in AI models

The heart of this update is DeepSeek Sparse Attention (DSA), a mechanism that prioritizes relevant parts of the context to process them more accurately. The company details the use of a Lightning indexer that selects key fragments and a process of “fine-grained token selection”, with the goal of covering large context windows and handling multiple lines of thought at once with less information overhead.

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This approach pursues improvements in both training and inference, speeding up times and reducing memory consumption. DeepSeek indicates that its most recent versions already support FP8 and are working on compatibility with BF16, number formats that help balance speed and accuracy, and that make it easier to execution on local hardware.

The company emphasizes that this is a launch, that is, a testing ground which anticipates its next-generation architecture. Still, its internal tests They point out that V3.2-Exp (the experimental version) performs at the level of V3.1-Terminus in tasks such as search agents, coding or mathematics, with the added benefit of efficiency in long-context scenarios.

In addition to the technical part, availability is wide: the model can be tested in the app, the web and the API of the company. The price reduction (more than 50%) aims to accelerate adoption by product teams and engineering departments looking to reduce operating costs.

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On the community front, the opening in Hugging Face and GitHub It enables researchers and developers to audit, reuse and propose improvements, strengthening DeepSeek's profile in the ecosystem. open source AI.

Market impact and geopolitical pulse

AI ecosystem and model competition

Although this step is not expected to shake up the markets as it did R1 and V3 at the beginning of the year, V3.2-Exp can put pressure on domestic rivals such as Qwen (Alibaba) and American competitors such as OpenAI, Anthropic or xAI. The key will be to demonstrate high performance at lower cost, a particularly sensitive factor for large AI deployments.

The launch comes amid a complex environment: several countries have limited the use of DeepSeek in government agencies (including Italy, the United States and South Korea), citing security concerns. These restrictions force the company to strengthen its governance and guarantees if you want to gain institutional presence.

In the industrial sector, China is pushing its technology companies to reduce their dependence on foreign semiconductors. US export controls on Nvidia chips (such as Blackwell) and additional restrictions—for example, on RTX Pro 6000—, DeepSeek claims to collaborate with Chinese chipmakers to optimize its execution on local hardware. In this line, the sector has indicated the support of Huawei to the latest model update.

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If the model manages to sustain its performance with half the operating cost, use cases with long documents, long chats, or demanding analytical tasks could especially benefit. For many companies, the combination efficiency + price It is as decisive as a few extra points in benchmarks.

DeepSeek's approach combines openness, efficiency, and immediate availability with a roadmap that promises a more capable architecture. If the company consolidates the cost reductions while maintaining the level demonstrated by V3.1-Terminus, The new model could become a practical benchmark for deploying generative AI at scale without skyrocketing costs.We'll see if DeepSeek can make efficiency no longer a technical aspiration, but a real competitive advantage for companies and developers.

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