Chinese artificial intelligence startup DeepSeek announced on Thursday the release of an upgraded version of its flagship V3 model. The new version, called DeepSeek-V3.1, has been designed with faster processing speeds and compatibility for Chinese-made chips, reflecting efforts to align with China’s growing semiconductor ecosystem. The move comes as Beijing accelerates its push to reduce reliance on United States technology amid ongoing export restrictions.
DeepSeek gained global attention earlier this year after launching AI models that rival Western counterparts such as OpenAI’s ChatGPT while offering lower operating costs. The latest upgrade follows two recent improvements, including an update to the R1 model in May and an earlier enhancement to the V3 model in March.
According to a post on WeChat, the DeepSeek-V3.1 model uses a UE8M0 FP8 precision format optimised for “soon-to-be-released next-generation domestic chips.” The company did not specify which chip models or manufacturers will be supported. FP8, or 8-bit floating point, is a data processing format that enables AI models to work more efficiently by reducing memory requirements and increasing speed compared with traditional methods.
The upgraded V3.1 model also introduces a hybrid inference structure, which allows the system to switch between reasoning and non-reasoning modes. Users can control these options through a “deep thinking” button available on DeepSeek’s official app and web platform, both of which now operate on the updated version.
Additionally, DeepSeek confirmed that it will revise the pricing for its model’s API, which enables developers to integrate its AI technology into their own applications and web products. The updated pricing structure will take effect on September 6.
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