Chinese AI startup DeepSeek announced a game-changing pricing overhaul on Wednesday, slashing costs for its application programming interface (API) by as much as 75% during off-peak hours.

The Hangzhou-based company, a rising star in the artificial intelligence sector, revealed that between 4:30 PM and midnight GMT, developers can integrate its cutting-edge AI models into their apps and web products at a fraction of the usual rate, a move poised to accelerate adoption and intensify competition in the global AI market.

The steep discounts apply to DeepSeek’s popular models, R1 and V3, with API usage fees dropping 75% for R1 and 50% for V3 during the specified window.

The API serves as a bridge, enabling third-party developers to harness DeepSeek’s advanced AI capabilities—such as natural language processing, generative content creation, and data analysis—within their own platforms.

READ MORE: DeepSeek speeds up launch of AI model R2 as China goes big

By cutting prices during off-peak times, the company aims to attract a broader range of innovators, from indie developers to large-scale enterprises, looking to embed AI into their solutions without breaking the bank.

DeepSeek’s decision comes as the AI industry witnesses skyrocketing demand for affordable, high-performance models. The startup has already made waves with its cost-effective, open-source offerings, which earlier this year drew comparisons to industry giants like OpenAI for their impressive capabilities.

The R1 model, known for its versatility in text generation and reasoning tasks, and the V3 model, lauded for its enhanced multimodal processing, have positioned DeepSeek as a formidable player in the race to democratize AI technology.

“This pricing strategy is about empowering developers worldwide,” a DeepSeek spokesperson said. “By making our API more accessible during off-peak hours, we’re lowering the barrier to entry and fueling innovation across industries.” The company highlighted that the discount aligns with periods of lower server demand, optimizing resource use while passing savings directly to users.

Analysts see this as a bold bid to capture market share in a sector where pricing wars are heating up. With competitors like Alibaba and international firms rolling out their own AI tools, DeepSeek’s aggressive cuts could pressure rivals to follow suit or risk losing ground.

For developers, the move promises greater flexibility—whether building chatbots, automating workflows, or creating next-gen web experiences—all at unprecedented value.

The announcement has already sparked buzz online, with tech communities speculating on how the reduced costs might accelerate AI-driven projects globally.

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