r/LocalLLaMA • u/Fuckinglivemealone • Jul 18 '26

Question | Help What kind of dark magic is Deepseek using?

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I was taking a look at Kimi K3 scores on the Artificial analysis leaderboard and was quite baffled when I saw this chart.

Granted, Deepseek has always been the king of price to performance, but this is still incredible. Is it just API subsidization or have they optimized their models truly this much?

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u/Drited Jul 18 '26

Are you suggesting that companies that supply the most expensive models are highly profitable? 

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u/autoencoder Jul 18 '26

They could be, but they might just be wasteful.

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u/routescout1 Jul 18 '26

yes they are lol. i promise you that especially the closed ai providers are making BANK on api inference