Harvard Business Review February 4, 2025
Toby E. Stuart

Summary: Rather than understanding DeepSeek’s R1 as a watershed moment, leaders should think of it as a signal of where the AI landscape is right now — and a harbinger of what’s to come. They should consider five lessons: 1) we’re moving from models that recognize patterns to those that can reason, 2) the economics of AI are at an inflection point, 3) the current moment shows how propriety and open source models can coexist, 4) silicon scarcity drives innovation, and 5) in spite of the splash DeepSeek made with this model,...

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