New AI Chip Designs to Slash DeepSeek's Computing Costs

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In the ever-evolving landscape of artificial intelligence (AI), the emergence of DeepSeek has marked a significant shiftBy leveraging innovative engineering capabilities, DeepSeek has managed to optimize the computational costs associated with training and inference of colossal AI modelsThis advancement not only opens up avenues for high-performance models to be deployed at the edge but also sets a foundation for more extensive commercial applications of AI technologies.

After analyzing the DeepSeek V3 and R1 model papers, it becomes apparent that the core philosophy driving these innovations is akin to a just-in-time system in manufacturing, where resources are allocated as needed, minimizing redundant calculationsThis approach enables massive models—those with hundreds of billions of parameters—to function efficiently on lower-cost hardware, including edge devices, while paving the way for their large-scale commercialization.

DeepSeek’s strategies significantly reduce training costs via various engineered solutionsFor instance, the architecture of DeepSeek-V3 integrates techniques like the DeepSeekMoE (Mixture of Experts) expert structure and the MLA (Multi-Headed Latent Attention) mechanismThe DeepSeekMoE enhances computational efficiency through fine-grained expert allocation and a load-balancing strategy devoid of auxiliary lossesMeanwhile, the MLA allows for reduced memory consumption and improved computational efficiency by decreasing the footprint of attention key-value caches through low-rank joint compression.

Moreover, DeepSeek explores mixed precision training with FP8, a low-precision data type that allows the model to speed up core calculations while decreasing memory requirements significantlyIt is noteworthy that DeepSeek has adopted this FP8 paradigm before many mainstream large models, signaling potential industry-wide shifts in how model training might occur in the future.

Training optimization is another cornerstone of DeepSeek's approach

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The company has ingeniously implemented hard disk drives as input caching solutions while developing the DualPipe algorithm, which facilitates efficient pipelined parallel processingThis innovation merges forward and backward communication phases, greatly reducing latencyAdditionally, a custom high-efficiency all-to-all communication kernel across nodes minimizes communication overhead, further streamlining the training process.

DeepSeek also emphasizes data strategy optimization through a multi-token prediction mechanism (MTP) that enhances training signal densityThis method reduces the number of training iterations required by 20%, which in turn helps the model to capture long-distance dependencies, significantly bolstering its overall effectiveness.

When it comes to inference costs, DeepSeek-V3 again proves to be a trailblazer by optimizing both the pre-filling and decoding stages of the inference processIn the pre-filling phase, the use of the MoE structure enables a strategy featuring EP32 and redundant experts to boost efficiencyThe EP32 facilitates rapid information extraction from initial data inputs, while the redundancy ensures that diverse input types can be processed effectively without significant loss of efficiency.

During the decoding phase, the model utilizes dynamic routing to curtail communication overhead, intelligently selecting the optimal routing pathway based on the characteristics of the input data and the model’s output needsThis reduces unnecessary data transmission and processing, resulting in more efficient generation of outputs.

DeepSeek-V3 further enhances efficiency by supporting both FP8 and INT8 quantization in addition to offering distilled versions of the model, thereby lowering memory requirementsThe rationale behind this is straightforward: by using lower precision data without significantly compromising on performance, companies can reduce their overall computational load.

A noteworthy aspect of DeepSeek is its commitment to fostering an open-source ecosystem, which benefits hardware manufacturers by allowing them to optimize their architectures for better performance with DeepSeek models

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For example, the MLA operator's optimization can be tailored to specific hardware characteristics, leading to enhanced execution efficiency.

The adoption of the DeepSeek-R1 model has prompted a swift response from both domestic and international chip manufacturersNotably, AMD announced the integration of DeepSeek-V3 into its Instinct MI300X GPU, optimizing the inference process through SGLang to fully leverage the GPU’s capabilities, which in turn enhances the model’s parallel processing abilitiesFollowing suit, NVIDIA and Intel also pledged support, amplifying the hardware compatibility and accessibility of DeepSeek technology.

From a broader perspective, the implications of DeepSeek’s hardware demands speak volumes about the future of AI chip designThe insights provided suggest that communication and computation hold equal importance, with an emphasis on reducing precision and memory requirements as pivotal for optimizing performanceAdditionally, recommendations include developing standalone communication coprocessors to physically separate computing from communication, as well as advocating for unified network architectures to mitigate programming complexity and latency issues.

Furthermore, there are two significant revelations here: first, the inference speed is predominantly determined by the decoding phase, indicating that memory capacity is crucial for enabling high-speed inference in large modelsUpgrading memory is thus an essential focus for future chip upgradesSecondly, under the model's open-source strategy, continued improvements are expected for the distilled versions of DeepSeek-R1, indicating promising growth opportunities for brand companies and SoC (System on Chip) manufacturers.

In conclusion, DeepSeek stands as a beacon of innovation in the AI realm, addressing challenges of model training and deployment with its revolutionary methodologiesThe focus on optimized resource allocation, reduced memory consumption, and improved architectural frameworks showcases the potential for AI applications to be effectively integrated across various sectors, thus propelling the technology toward a more substantial impact on society as a whole.

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