Summary

Alibaba has launched Qwen 2.5-Max, an AI model it claims outperforms DeepSeek-V3, OpenAI’s GPT-4o, and Meta’s Llama-3.1-405B.

The release, coinciding with Lunar New Year, reflects mounting competition in China’s AI sector after DeepSeek’s rapid rise.

DeepSeek’s recent advancements have pressured Chinese rivals like ByteDance and Baidu to upgrade their models and cut prices.

DeepSeek’s founder downplays price wars, focusing on artificial general intelligence (AGI). The company’s lean, research-focused structure contrasts with China’s tech giants, which face challenges in AI innovation.