# China's DeepSeek Develops Own AI Chip to Reduce US Dependencies

> Fresh off its model releases, DeepSeek is reportedly designing its own AI chip, according to Bloomberg. The silicon is aimed at inference, the job of actually generating responses from a trained model, rather than the far more demanding work of training new models from scratch. That is a pragmatic place to start, since inference chips are easier to build and account for the bulk of day-to-day compute once a model is deployed. The move fits a broader pattern. Chinese labs are increasingly pursuing custom silicon to blunt the impact of US export controls that limit their access to the best Nvidia hardware, and DeepSeek joins others reportedly working on homegrown chips. Whether the part is competitive is an open question, and designing a chip is a long, expensive road with plenty of room to stumble. But the direction of travel is clear. If a scrappy lab known for efficient models can also lower its dependence on foreign hardware, it chips away at one of the main levers the US has been using to slow China's AI progress.

_Section: [Daily AI Updates](https://www.wortins.com/daily-ai) · Source: Bloomberg · Published Friday, July 10, 2026_

## Wortins' read

Fresh off its model releases, DeepSeek is reportedly designing its own AI chip, according to Bloomberg. The silicon is aimed at inference, the job of actually generating responses from a trained model, rather than the far more demanding work of training new models from scratch. That is a pragmatic place to start, since inference chips are easier to build and account for the bulk of day-to-day compute once a model is deployed. The move fits a broader pattern. Chinese labs are increasingly pursuing custom silicon to blunt the impact of US export controls that limit their access to the best Nvidia hardware, and DeepSeek joins others reportedly working on homegrown chips. Whether the part is competitive is an open question, and designing a chip is a long, expensive road with plenty of room to stumble. But the direction of travel is clear. If a scrappy lab known for efficient models can also lower its dependence on foreign hardware, it chips away at one of the main levers the US has been using to slow China's AI progress.

## Source

[Read the full story at Bloomberg](https://www.bloomberg.com/news/articles/2026-07-07/chinese-ai-startup-deepseek-developing-its-own-ai-chip-reuters-says)

## Related coverage

- [SpaceX Acquires Cursor IDE for $60B; Launches Grok 4.5 With Cursor Data](https://www.wortins.com/story/spacex-acquires-cursor-ide-for-60b-launches-grok-4-5-with-cu-fda684ec) — [Cursor](https://cursor.com/blog/grok-4-5)
- [Enterprise AI Agents Reach 72% Production Rate But Quality Remains Top Barrier](https://www.wortins.com/story/enterprise-ai-agents-reach-72-production-rate-but-quality-re-e2641aaf) — [Agentic AI Institute](https://agenticaiinstitute.org/agentic-ai-enterprise-adoption-2026-governance-gap/)
- [Agent Studio](https://www.wortins.com/story/agent-studio-e1e078c4) — [Alteryx](https://www.alteryx.com/blog/new-capabilities-in-alteryx-one-built-for-how-analysts-work)
- [Grok 4.5 Cost Advantage Reshapes Agentic AI Economics](https://www.wortins.com/story/grok-4-5-cost-advantage-reshapes-agentic-ai-economics-22195af9) — [The Decoder](https://the-decoder.com/grok-4-5-is-so-cheap-compared-to-fable-5-and-gpt-5-5-that-benchmark-gaps-may-not-matter-much)
- [EU AI Act Enforces Transparency Rules; Regulatory Sandboxes Delayed to 2027](https://www.wortins.com/story/eu-ai-act-enforces-transparency-rules-regulatory-sandboxes-d-a98ae8de) — [European Commission](https://digital-strategy.ec.europa.eu/en/policies/regulatory-framework-ai)
- [TwelveLabs Raises $100M Series B for Video AI Understanding](https://www.wortins.com/story/twelvelabs-raises-100m-series-b-for-video-ai-understanding-343ab6da) — [GlobeNewswire](https://www.globenewswire.com/news-release/2026/07/01/3320545/0/en/twelvelabs-raises-100-million-in-series-b-funding-to-build-video-superintelligence.html)

---

_Curated and written by [Wortins](https://www.wortins.com) — The daily AI briefing. Every story links to its original source; the "Wortins read" on each is our own original analysis. [About Wortins & our editorial approach](https://www.wortins.com/about)._