Figure drops OpenAI in favor of in-house models

Liang Wenfeng, the 39-year-old mastermind behind DeepSeek, has rapidly emerged as a central figure in China’s quest for AI supremacy. His rise to prominence comes at a time when China faces increasing technological restrictions from the U.S., making homegrown innovation more crucial than ever.

Until recently, Liang maintained a remarkably low profile, rarely engaging with the media. However, his influence became undeniable when he was among nine individuals invited to speak at a high-level symposium led by Chinese Premier Li Qiang on January 20. This exclusive event underscored the significance of DeepSeek’s contributions to China’s AI ambitions, positioning the company as a key player in the nation’s technological strategy.

DeepSeek’s Disruptive AI Model and Market Impact

DeepSeek recently launched an AI assistant that has already sent shockwaves through the global tech sector. The company claims its model operates with significantly reduced data requirements and at a fraction of the cost compared to existing AI solutions. This breakthrough has led to widespread market reactions, including a selloff in tech stocks, as investors recognize the potential disruption DeepSeek poses to established AI giants.

Unlike many Chinese tech firms that focus on consumer applications, DeepSeek prioritizes research and model development. Liang’s vision is clear: rather than competing in the crowded app market, DeepSeek aims to create cutting-edge AI models that other businesses can integrate into their own products. This strategy contrasts with China’s traditional approach of rapidly scaling foreign innovations, a practice that has long defined its tech industry.

Breaking Free from the “Follower” Mentality

Liang has been vocal about the need for China’s AI sector to shift from imitation to true innovation. “China cannot remain in a perpetual state of following others,” he said in a rare interview. “The real gap between China and the U.S. is not just a matter of time—it’s about originality versus replication.”

He believes that China’s tech industry has historically prioritized short-term financial gains over groundbreaking research. “For decades, the focus has been on making money rather than pushing the boundaries of innovation,” he remarked. “True breakthroughs require not just investment but a deep curiosity and a passion for creation.”

Championing Open-Source AI for Global Influence

A defining characteristic of DeepSeek’s approach is its commitment to open-source AI models. Unlike OpenAI, which has opted for a closed-source strategy, DeepSeek makes its core AI technology available for public use and modification. Liang sees this as more than just a business decision—it’s a philosophy.

“Open-source is not just a corporate strategy; it’s a cultural mindset,” he explained. “Even if OpenAI remains closed, it cannot prevent others from catching up. Companies that embrace open-source gain a unique form of soft power that extends beyond their immediate business interests.”

This perspective aligns with the collaborative ethos that has driven Silicon Valley’s success and could play a crucial role in shaping China’s AI development on a global scale.

Liang Wenfeng: From Academia to AI Leadership

Liang’s journey began in Guangdong, a region known for its entrepreneurial spirit and rapid economic development. Despite growing up in an environment where business acumen was highly valued, Liang was drawn to academia. At just 17, he entered Zhejiang University, one of China’s top institutions, to study Electronics and Communication Engineering. He later earned a master’s degree in Information and Communication Engineering, completing his studies in 2010.

His career took a significant turn in 2015 when he co-founded a quantitative hedge fund, leveraging advanced mathematical models for algorithmic trading. Under his leadership, the fund grew to manage assets exceeding 100 billion yuan ($13.79 billion). However, in 2023, Liang announced a dramatic shift in focus—his firm would redirect resources toward AI research, specifically in the field of Artificial General Intelligence (AGI). Just a month later, DeepSeek was born.

The Pursuit of AGI: DeepSeek’s Ultimate Goal

DeepSeek is not merely building AI tools—it is striving to develop AGI, a form of artificial intelligence that can outperform humans in most economically valuable tasks. This ambitious mission has attracted top-tier talent from China’s most prestigious universities, many of whom are drawn by the challenge of solving AI’s most complex problems.

“What motivates the best minds in the world is the opportunity to tackle the hardest problems,” Liang stated. “Our goal remains clear: we are pursuing AGI.”

What Lies Ahead for DeepSeek and Liang Wenfeng?

Under Liang Wenfeng’s leadership, DeepSeek has positioned itself as a game-changer in the AI industry. By focusing on foundational AI research rather than consumer applications, championing open-source collaboration, and striving for AGI, DeepSeek is reshaping China’s role in the global AI race.

Liang’s approach challenges traditional business strategies in China’s tech sector, advocating for a shift from profit-driven innovation to research-led breakthroughs. As DeepSeek continues to evolve, its success could signal a new era where China is no longer just catching up in AI—but leading the way.