Chinese AI startup DeepSeek has announced temporary access restrictions to its API services due to server capacity issues, following its rapid popularity and a sudden increase in user numbers. The company revealed that it had suspended reload operations for its current API services.
DeepSeek restricts API access due to server capacity!
In a statement, DeepSeek explained, “Due to limited server resources, we have temporarily suspended API service uploads. This is to prevent any negative impact on your operations. Calls can still be made with existing balances. Thank you for your understanding!”
The company also announced a new pricing policy, effective from February 8th. According to the policy, the charge will be $0.27 per entry token and $1.10 per exit token for the chat model. The demand surge following the release of the R1 model on January 20th is at the core of these challenges.
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DeepSeek’s success, in training the R1 model with a budget significantly lower than OpenAI’s o1 reasoning model development costs, and its rapid rise as a leading AI provider, has caused considerable panic among U.S. investors.
After DeepSeek reached the top of the App Store, the first Monday saw a total loss of $1 trillion in market value, especially from major tech companies like NVIDIA. In response, OpenAI released the o3-mini model and the Deep Research feature for ChatGPT.
However, DeepSeek’s competitive cost advantage and innovative approach have quickly established it as one of the leading names in the AI world. While the company works to optimize its services due to high demand, it encourages users to continue using their existing balances.
The impact of DeepSeek’s new pricing model and service restrictions on customers and competitors will become clearer in the coming period. However, the company’s rapid rise has already shifted the dynamics in the AI world.
