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Deepseek in Vietnam: Quiet beginnings for new and potential AI player

Welcome to this week's Words on the Street, where we explore the latest shifts shaping Vietnam's digital landscape, and look at Deepseek's quiet but intriguing entry into an AI market where ChatGPT reigns supreme.

For many in Vietnam, artificial intelligence has become synonymous with ChatGPT. Since its launch, OpenAI's chatbot has embedded itself into everyday digital life, shaping how businesses and individuals interact with AI-powered tools. It is widely used in content creation, customer service, education, and automation, becoming a familiar and trustworthy presence. In this landscape, the introduction of Deepseek, a new AI contender, naturally raises the question of whether it will have a game-changing impact - or whether users will simply continue with what they already know.

 

So far, the advent of Deepseek has been met with measured curiosity rather than widespread enthusiasm. The shift from one AI model to another is not just a matter of performance, but also of habit and infrastructure. Many startups and tech firms in Vietnam have already built their AI applications on OpenAI's foundation, fine-tuning their workflows and processes around ChatGPT's capabilities. "We've already invested in making ChatGPT work for us," said Ha Trung, a junior developer in Hanoi. "Switching would mean reworking almost everything, and right now there's no good reason to do that."

A social survey of the startup and digital transformation communities found little interest in switching to Deepseek, as most AI startups remain deeply integrated with OpenAI's tools. For organizations using ChatGPT, switching isn't just a matter of preference, it's also a matter of feasibility, requiring costly redevelopment and retraining. Without a clear superior advantage, Deepseek offers little incentive to change, highlighting the challenge new AI players face in disrupting established habits.


While AI startups may not feel compelled to adopt Deepseek, larger enterprises with high AI-related costs are more open to exploring alternatives. The biggest advantage Deepseek offers so far is pricing. "For organizations that rely on AI at scale, cost efficiency is a key factor," said one digital transformation consultant. "If Deepseek offers a more budget-friendly alternative while maintaining reasonable performance, some companies may begin to explore it."

AI is expensive, especially for organizations that use it for automation, customer service, and data analytics. Lower costs can pique interest, but affordability alone isn't enough. Organizations also weigh reliability, security, and long-term support, making performance a key factor in adoption.


Skepticism about the accuracy of Deepseek's content is growing on social media, with early users finding it functional but lacking the depth and reliability of OpenAI's models. "AI isn't just about affordability, it has to be accurate," noted by Duc Phuong, an entrepreneur, emphasizing its critical role in finance, law, and healthcare. In Vietnam's expanding AI landscape, preciseness is essential for data-driven decisions.

"An incorrect financial projection or legal misinterpretation can be costly," warned by Hung Nguyen, an AI consultant in Hanoi, underscoring the high stakes of AI reliability. To gain credibility, Deepseek will need to improve its accuracy, as AI adoption in high-stakes industries hinges on reliability. Until then, it is likely to remain a secondary option. Meanwhile, much of the Vietnamese market is still in the early stages of AI adoption, and many organizations have yet to fully integrate AI into their operations.

For them, the emergence of new AI players is not necessarily a disruption, but rather an encouragement to get involved with AI in the first place. Vietnam's digital transformation is still a work in progress, and many companies are only now beginning to experiment with AI beyond superficial applications. In this context, the presence of multiple AI models, including Deepseek, could be a catalyst for broader AI adoption. "We've seen this pattern before," noted by Long Dang, a technology consultant in Ho Chi Minh City. "When there's only one dominant product, people either adopt it or avoid it. But when there's competition, companies start to pay more attention to what AI can actually do for them." As a result, Deepseek's arrival may spark interest among companies that have been reluctant to explore AI. With multiple options available, businesses may be more inclined to test different AI models and evaluate how they can be integrated into their operations.

Deepseek's impact on Vietnam's AI landscape could also be shaped by how well it adapts to local needs. One challenge AI companies face when expanding into new markets is ensuring their models can handle regional linguistic and contextual nuances.

For AI to be truly effective in Vietnam, it needs to understand not simply the language, but also the social, economic, and cultural context in which it operates. If Deepseek - or any other AI provider - can optimize its models for Vietnamese users in a way that existing platforms haven't, it could carve out a strong niche.

There is also the possibility that Deepseek could spur local AI development. Vietnam has a strong tech startup ecosystem, and while most AI-powered businesses currently rely on OpenAI's infrastructure, a shift to alternative models could lead to a wave of innovation. "If Deepseek proves to be more adaptable, we could see startups using it to build AI solutions specifically tailored to the Vietnamese market," said Hieu Nguyen, a software engineer in Danang. "That could be an exciting development, especially if it leads to more homegrown AI advancements."


ChatGPT remains Vietnam's dominant AI tool, but newcomer Deepseek is sparking discussions about competition, innovation, and accessibility. While immediate changes seem unlikely, the long-term presence of more AI alternatives could drive new developments. As AI evolves, shifts may emerge gradually, shaping the market in unexpected ways.

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