Sacks cites analyst estimate that DeepSeek has about 50,000 Hopper GPUs including 10,000 H100s.
“Dylan Patel, who's leading semiconductor analyst, has estimated that DeepSeac has about 50,000 hoppers. And specifically, he said they have about 10,000 h one hundreds,”
Sacks argues the $6 million DeepSeek cost claim compares final training run to fully loaded US company costs.
“I mean, if you were to make the apples to apples comparison, you would need to compare the final training run cost by DeepSeek to that of OpenAI or Anthropic.”
Sacks criticizes restrictions on UAE chip sales, saying they push American allies toward China.
“They just want to be partners with The United States, and yet we've put all sorts of restrictions on their ability to do business with us.”
Sacks argues selling some chips to China takes market share from Huawei, preventing its dominance.
“And what Huawei wants is for all American chips to be banned in China so they can dominate that huge market for themselves.”
Sacks says October 2023 restrictions assumed US semiconductor monopoly justified any export controls.
“We were the only ones who could really make advanced semiconductor, so therefore, we could impose whatever restrictions we Nobody would have a choice.”
Sacks frames data center decision as binary: countries will choose American or Chinese technology.
“Every sovereign country that can afford them is gonna have data centers. Is that gonna be American technology or Chinese technology?”
Sacks reveals NYT fact-check alleged he heard chip export arguments at a dinner with Jensen Huang that never happened.
“During the dinner, Sachs heard a convincing counterargument that selling American chips to rivals, including China, will get those nations hooked on US tech.”
“I just saw an article that said that China was rejecting the h 200, so apparently, they don't want them.”
Sacks states the administration views H200 as no longer leading edge but a previous generation chip.
“And I think the the administration's view is that, the h 200 was once a leading chip couple years ago. It is no longer on the leading edge. It's a previous generation chip.”
“And it's sort of the perfect export control because there's only one company that makes these machines.”
“You know, if we look around the world in five years and we see that American companies, American technology has say 80% market share, it means we did a good job.”
Sacks argues American tech stack becoming global standard benefits US economically and for national security.
“You want the American tech stack to become the global standard. That's good for us economically. I think it's also good in terms of national security and spreading our influence.”
Sacks asserts Chinese GLM model now matches currently available OpenAI and Anthropic models in capability.
“So we now have a Chinese open weight model that is as good as the currently available models from OpenAI and Anthropic.”
Sacks explains export control letter required three conditions including Dario calling model cyber weapon and Amazon reporting failed guardrails.
“Number two is you have a trusted partner of Anthropic, which is Amazon, which did its testing of Fable, which was Mythos with guardrails, and they reported that the guardrails failed.”
Sacks recounts Dario's argument that having thousands of AI agents versus China's dozens would ensure US dominance.
“And if we have thousands or millions of those and China has only dozens or a 100, whatever, then we're going to win everything.”
Sacks says restricting allies from data centers means the US is shooting itself in the foot.
“So I guess our allies aren't gonna have the data centers either. So we are totally shooting ourselves in the foot.”
Sacks argues current policies ban the very data centers Dario advocated for and restrict chip sales to allies.
“But now we're basically banning the data centers. We're not gonna have those data centers full of geniuses. And he's done his best to restrict sale of chips to our allies as well.”
Sacks says Dario argued for US data centers to create thousands of Nobel Prize-level AI scientist agents.
“Dario actually made this argument in the context of trying to ban export of chips.”
Sacks says chip export restrictions to allies also prevent their data center development.
“We're not gonna have those data centers full of geniuses. And he's done his best to restrict sale of chips to our allies as well.”