America has been outsmarted. There is no escape from this reality. As discussed below, DeepSeek will probably be outlawed for one reason or the other but in the end, this will change little. The speed of innovation is now faster in China than in the US. (Forget Europe, they are probably already writing a draft for a DeepSeek containment law.) If the bubble in the West last another year, we'll be extremely lucky. Ukraine is about to fall. With it a few hundred billions of real money (not artificial "market" money) will disappear. Add the DeepSeek shock to Ukraine loss to exploding deficits and the outcome is rather obvious. The only question left is the timing of the next black swan.
Sunday, February 2, 2025
DeepSeek will be banned: it's good, it's fast, and it's free. So it cannot be allowed. (Video - 11mn)
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