Nvidia CEO Jensen Huang has endorsed open-source AI models such as DeepSeek-R1, arguing they accelerate AI application development and strengthen demand across the entire AI technology stack.
Nvidia CEO Jensen Huang has backed open-source AI models such as DeepSeek-R1, describing them as important catalysts for AI application growth and warning policymakers against imposing restrictions on the application layer.
In a recent blog post, Huang argued that AI applications generate the economic value that sustains investment across the entire AI ecosystem. He outlined his “five-layer cake” framework, comprising energy, chips, infrastructure, models, and applications, with each layer supporting the next.
“Every successful application pulls on every layer beneath it, all the way down to the power plant that keeps it alive,” said Huang.
According to Huang, restricting AI applications could create a cascading effect across the technology stack, reducing demand for AI services, discouraging semiconductor and infrastructure investments, slowing data-centre expansion, and impacting energy development.
Highlighting the role of open-source AI, Huang cited DeepSeek-R1 as an example of how open models can accelerate adoption. By lowering barriers to entry, open-source models enable developers and smaller companies to build sophisticated AI applications without relying on expensive proprietary alternatives.
Huang argued that broader adoption of open-source models leads to more AI applications, greater compute demand, and increased investment in GPUs and supporting infrastructure. He also noted that open-source AI is helping create a more competitive application ecosystem while expanding access to advanced AI capabilities.
The Nvidia chief further rejected claims that AI primarily destroys jobs, arguing that growth across energy, semiconductor manufacturing, infrastructure, AI development, and application creation will generate employment opportunities throughout the AI value chain.
