Cerebras is the fastest host in the world for DeepSeek R1, surpassing Nvidia GPUs 57x

Cerebras Systems has announced that it will host DeepSeek’s breakthrough. R1 artificial intelligence modelon U.S. server, promises speeds up to 57-times faster than GPU based solutions while keeping data within American boundaries. The move comes amid concerns about China’s rapid AI development and data privacy.

An AI chip startup is deploying a version with 70 billion parameters. DeepSeek R1 runs on its proprietary wafer scale hardware and delivers 1,600 tokens per sec — a dramatic upgrade over traditional GPU implementations which have struggled to cope with newer AI models.

Why DeepSeek reasoning models are reshaping enterprise AI.

James Wang, senior executive at Cerebras and an exclusive interviewee with VentureBeat, said, “These reasoning models impact the economy.” “Any knowledge worker has to perform some sort of multi-step cognitive tasks.” These reasoning models will be the tools they use in their workflow.

This announcement follows a turbulent week, during which DeepSeek emerged and triggered Nvidia’s The chip giant has suffered its largest-ever loss in market value, of nearly $600 billion. This raises questions about its AI supremacy. Cerebras’ solution directly addresses the two key concerns that have arisen: the computational demands for advanced AI models and data sovereignty.

If you use Wang explains that DeepSeek APIis a very popular API right now. Data is sent directly to China. “This is a severe caveat [makes] that many U.S. enterprises and companies…are not willing to consider [it].”

How Cerebras wafer-scale technology beats GPUs for AI speed

Cerebras gains its speed advantage by using a novel chip design that keeps entire AI systems on a single wafer processor, eliminating memory bottlenecks which plague GPU-based system. The company claims that its implementation of DeepSeek R1 is equal to or better than OpenAI’s proprietary model, and it runs entirely on U.S. land.

This development represents a significant change in the AI landscape. DeepSeekwas founded by former hedge-fund executive Liang Wenfeng. It achieved sophisticated AI reasoning abilities at a reported 1% of the price of U.S. rivals. Cerebras hosting solution allows American companies to take advantage of these advancements while maintaining control over their data.

It’s a nice story, that U.S. labs have given this gift to the rest of the world. Wang said that the Chinese took it and made improvements, but there were limitations as it ran in China and had some censorship issues. Now we are taking it back to run it on U.S. Data Centers, without censorship and without data retention.

U.S. tech leaders face new questions as AI innovation becomes global

This service will be made available through a Developer preview starts today. Cerebras will initially offer the software for free. API access controls were implemented due to high demand.

The move is being made as U.S. legislators grapple with the implications that DeepSeek has revealed, which have exposed potential limitations. American trade restrictions are designed to maintain a technological advantage over China. The ability of Chinese companies, despite the restrictions, to achieve breakthrough AI capabilities. The chip export controls have prompted calls for a new regulatory approach.

According to industry analysts, this development could accelerate a shift away from GPU-dependent AI Infrastructure. Wang pointed out that Nvidia was no longer the leader when it came to inference performance, citing benchmarks that showed superior performance from specialized AI chips. “These other AI chips are really faster than GPUs to run these latest models.”

This impact goes beyond technical metrics. The computational demands of AI models have increased as they incorporate more sophisticated reasoning capabilities. Cerebras claims its architecture is better-suited for these new workloads and could reshape the competitive landscape of enterprise AI deployment.