Right, settle in, grab a pint – virtual ones are on me – because this week’s news is a bit of a rollercoaster, isn’t it? I was listening to the BBC’s Newscast podcast the other day, and blimey, it was packed. Two things in particular really jumped out at me, stuff that’s got my brain ticking over like an old banger on a cold morning.
First up, this bromance brewing between Donald Trump and our very own Keir Starmer. Trump and Starmer? Who’d have thunk it? It’s like finding out your gran’s suddenly best mates with a rock star. Then, wham, out of nowhere, China drops this AI bombshell that’s got the tech world, and the stock markets, in a right old spin. Seriously, it’s all kicking off. Let’s have a proper chinwag about it, shall we?
Trump and Starmer: Matey Matey?
So, picture this: Trump, on Air Force One, being all complimentary about Keir Starmer. Apparently, they get on “pretty well” even though they’re about as politically different as chalk and cheese. Then they have a 45-minute phone call, and Downing Street is practically gushing about how “warm” and “positive” it all was. Warm? Positive? For Trump? It’s like finding a tenner in your old jeans – unexpected and definitely welcome.
Now, I’m not saying they’re suddenly swapping Christmas cards, but for Starmer, this is gold dust. As Chris Mason, the BBC’s Westminster whizz, pointed out, it’s “better than the alternative,” especially with a potential trip to Washington on the cards. No one wants to start off on the wrong foot with the bloke who might be running the free world again soon.
Sarah Smith, their North America editor, reckons Trump’s love for the Royal Family might be playing a blinder here for us Brits. Trump and posh palaces? Yeah, that tracks. Apparently, the call was full of “very warm,” “very good,” “very personal” vibes. Sounds almost too good to be true, doesn’t it? Like when the used car salesman is extra friendly.
But here’s the thing – they probably steered clear of the sticky subjects. Like, Lord Mandelson being our potential man in Washington. Apparently, there’s whispers Trump might not be too keen. Bit awkward, that. And then there’s defence spending. Trump’s banging on about NATO countries hitting 5% of GDP – which is, let’s be honest, a massive ask, even for the US. Labour’s sounding a bit lukewarm even on 2.5%. Could be a right old barney down the line.
And tariffs! Remember when Trump slapped tariffs on everything that moved? Well, he’s at it again. Colombia refused to let a US military plane land with deported migrants, and boom, Trump threatens 25% tariffs on Colombian goods. Coffee and flowers, apparently. Ouch. Worked a treat, though. Colombia caved pretty quick. Makes you think, doesn’t it? Rachel Reeves might be hoping we’re safe from Trump’s tariffs because the US sells more to us than we sell to them, but this Colombia thing shows it’s not always about trade balance, is it? It’s about getting his way.
What I found properly eye-opening was the chat about Trump’s political style. Apparently, he did this town hall meeting in LA, just bantering away with angry homeowners and the Democrat mayor, all super relaxed and… well, Trump. A cabinet minister reckons we need to take notes! Imagine that – British politicians trying to be more Trump-like. Right bonkers, eh? But apparently, his theatrical delivery and grabbing attention is something else. Love him or loathe him, the bloke knows how to put on a show. Makes our lot look a bit… beige, doesn’t it?
China’s AI Bombshell – Did We See This Coming?
Right, onto the tech stuff. This is where it gets properly interesting, and maybe a bit worrying if you’ve got shares in Nvidia. Apparently, this Chinese AI company, DeepSeek, has launched a new AI model, and it’s causing chaos. Why? Because it’s supposedly dirt cheap to make compared to the big boys like OpenAI (ChatGPT), Google, and Microsoft. We’re talking millions versus hundreds of millions.
Mark Chisnell, the BBC’s AI guru, explained that DeepSeek has shot to the top of the app charts, even overtaking ChatGPT. And the markets? They’re having a wobble. Nvidia, the chip maker everyone thought was printing money with the AI boom, saw their share price plummet. Down 17% at one point! That’s like losing the value of ExxonMobil – in a day! Faisel Islam, looking all Davos-y in his fleece (apparently!), reckons this is a proper “re-evaluation.” Are these tech companies in an AI bubble? Is it all a bit overhyped?
Faisel reckons this DeepSeek thing is a “Sputnik moment.” Remember Sputnik? The Russian satellite that made the US panic during the Space Race? Yeah, like that. Suddenly, American tech supremacy doesn’t look quite so nailed on. Just four days after those tech bros were posing with the President, announcing trillions for AI, this Chinese model drops. Talk about timing.
The thing is, China might have a secret weapon – data. Loads of it. And maybe they’re not quite as bothered about privacy as we are in the West. Could that give them an edge in the AI race? Potentially. DeepSeek is even open source – meaning anyone can tinker with the code. That’s a game-changer. OpenAI keeps theirs locked up tight.
This is a big deal. We were all assuming AI was going to be this super expensive, exclusive thing, dominated by Silicon Valley giants. But what if it’s not? What if it becomes cheaper, more accessible, thanks to China? It’s like going from fancy Michelin-star meals to a really good, affordable takeaway – still tasty, but a fraction of the price.
There are questions, of course. Is DeepSeek really as cheap as they say? Some experts are skeptical. And what about censorship? Apparently, ask it about Tiananmen Square, and it’ll clam up faster than a politician asked a straight question. Security concerns too, naturally. If the US is banning TikTok, they’ll be having kittens about this, I reckon.
But here’s the kicker – this DeepSeek thing was apparently a side project by a hedge fund guy! Built in his spare time, using open-source bits and bobs. Necessity is the mother of invention, as they say. Because of US chip controls, they had to get clever and find a cheaper way to do it. And blimey, they might have cracked it.
What does it all mean? Well, for starters, the AI race just got a whole lot more interesting, and probably a lot more competitive. And for us regular folk? Maybe it means AI won’t just be for the mega-rich tech companies. Maybe it’ll become something we all use, in ways we can’t even imagine yet. Or maybe it’s all just hype. Who knows? But one thing’s for sure, it’s going to be a fascinating ride watching it all unfold.
Right, time for that virtual pint to become a real one, I reckon. Cheers to that!