Kingdee Embraces AI with DeepSeek Deployment in Cloud Services

Kingdee Leverages DeepSeek to Democratize AI for Businesses, Challenging the Status quo

By Archyde News Journalist | 2025-03-24

DeepSeek’s Open-Source Model Drives down AI Costs

Hong Kong, March 24, 2025 – Kingdee International Software Group, a prominent Chinese enterprise software provider, is making significant strides in leveraging artificial intelligence (AI) to transform business operations.The company is embracing AI, particularly thru the integration of DeepSeek, an open-source large language model (LLM), to drastically reduce the costs associated with AI adoption for businesses.This move comes as companies across the globe, including those in the United States, grapple with the complexities and expenses of implementing AI solutions.

“deepseek is a groundbreaking product,” stated George Liu, Kingdee’s vice-president and head of research and progress, in an interview conducted on March 18. He emphasized its open-source nature, noting that it’s “accessible to all … which brought significant benefits for companies like Kingdee and our clients.” this accessibility is particularly crucial for small and medium-sized enterprises (SMEs) in the U.S. that frequently enough lack the resources to invest in proprietary AI models,which can cost hundreds of thousands,if not millions,of dollars.

The development of accessible, open-source AI models like DeepSeek marks a shift in the industry, possibly leveling the playing field and enabling broader AI adoption across diverse sectors. For U.S. businesses, this means opportunities to enhance efficiency, improve decision-making, and create innovative products and services without incurring exorbitant costs. Imagine a small manufacturing firm in ohio using DeepSeek-powered AI to optimize its supply chain, or a local hospital in rural montana employing AI for predictive diagnostics – scenarios that were previously financially out of reach.

Kingdee’s cosmic Platform Empowers Custom AI Agent Creation

Kingdee, a leading software-as-a-service (SaaS) provider in china, announced last month that it had incorporated DeepSeek models into its offerings, tailoring solutions to address crucial business management needs across finance, human resources, and supply chain operations. This integration aims to streamline processes and deliver actionable insights to clients. Moreover, the company has launched “Cosmic,” a platform designed to empower enterprises to build their own customized AI agents based on DeepSeek models.

Zhang Yong, president of Kingdee, highlighted the cost-prohibitive nature of developing or integrating proprietary AI models before DeepSeek’s emergence. “Before DeepSeek, software vendors’ abilities were limited,” Zhang said.“Not every company has the investment resources to develop large AI models, and if you integrate other models, they’re usually very expensive.”

The Cosmic platform represents a significant step toward democratizing AI. By providing a framework for businesses to create tailored AI agents, Kingdee enables companies to address specific needs and challenges. In the context of the U.S. market, this could translate to a local bank developing an AI agent to detect fraudulent transactions, or a retail chain using AI to personalize customer experiences and optimize inventory management. Platforms like Cosmic offer an alternative to relying on expensive, one-size-fits-all solutions, fostering innovation and competition within the AI landscape.

Breaking AI Hegemony: Self-Sufficiency and Control

Xu Shaochun, founder, chairman, and CEO of Kingdee, expressed enthusiasm about the transformative impact of DeepSeek, stating that its emergence “broke AI hegemony” and made Kingdee’s products and technology “entirely self-sufficient and controllable,” in an article published on WeChat earlier this month. This sentiment reflects a growing desire among businesses to gain greater control over their AI infrastructure and reduce reliance on a handful of dominant players.

The concept of “AI hegemony” resonates strongly in the U.S., where concerns about data privacy, algorithmic bias, and the concentration of power in the hands of a few tech giants are prevalent. Open-source AI models like DeepSeek offer a potential antidote to these concerns by fostering clarity, collaboration, and distributed innovation, with companies increasingly wanting to control their own data and AI strategies.

Implications and Future Outlook for U.S. Businesses

The developments at Kingdee, driven by the accessibility of DeepSeek, hold significant implications for U.S. businesses. As AI becomes more democratized, companies across various sectors can leverage tailored AI solutions to enhance their operations, improve decision-making, and create new value streams.

For example, consider the following potential applications:

• Financial Services: Building predictive risk models to mitigate financial risks and enhance business security, similar to the applications in Hong Kong’s financial industry. According to Kingdee, Financial institutions can use AI to build predict risk models to help enterprises reduce risks and improve business security.
• Healthcare: Developing AI-powered diagnostic tools and personalized treatment plans, improving patient outcomes and reducing healthcare costs.
• Manufacturing: Optimizing supply chains,enhancing production efficiency,and improving quality control through AI-driven analytics.
• Retail: Personalizing customer experiences, optimizing inventory management, and improving marketing effectiveness through AI-powered insights.

AI adoption can present challenges, including the need for skilled personnel, data privacy concerns, and algorithmic bias, it is crucial for American companies to approach AI integration with a strategic mindset, considering both the opportunities and potential risks. The focus should be on developing ethical and responsible AI practices, ensuring transparency, and mitigating bias to foster trust and maintain a competitive advantage.

The rise of open-source AI models like DeepSeek, coupled with platforms like Cosmic that empower customized AI agent creation, signals a positive trend toward democratizing AI. For U.S. businesses, this means greater accessibility, affordability, and control over AI technologies, enabling them to unlock new opportunities and navigate the evolving digital landscape effectively.

potential Counterarguments and Considerations

While the democratization of AI offers numerous benefits, some potential counterarguments and considerations warrant attention:

• Data Security and Privacy: Reliance on open-source models may raise concerns about data security and privacy, as the underlying code is publicly accessible. Businesses need to implement robust security measures to protect sensitive data.
• Algorithmic Bias: Open-source models can inherit biases present in the training data, potentially leading to discriminatory outcomes. Careful attention must be paid to data quality and fairness.
• Dependence on External Resources: Customizing and maintaining AI agents based on open-source models may require technical expertise that not all businesses possess,leading to dependence on external consultants or developers.

Addressing these concerns is paramount to ensuring responsible and ethical AI adoption. By implementing robust security measures, mitigating bias, and investing in training and expertise, U.S. businesses can harness the full potential of open-source AI while mitigating potential risks.

Financial Performance of Kingdee

On March 18, Kingdee was able to achieve significant gains from the AI boom. The company’s Hong Kong-listed shares have surged about 90 per cent this year. Similar to Nvidia (NVDA), which has made significant financial gains from AI investments.

Can DeepSeek’s open-source nature accelerate AI adoption by smaller businesses compared to proprietary models?

Kingdee Leverages DeepSeek to Democratize AI: An Interview with Dr. Anya Sharma

Archyde News: welcome, Dr. Sharma. Thank you for joining us today. As a leading AI strategist,yoru insights into Kingdee’s integration of DeepSeek are invaluable.

Dr.Anya Sharma: Thank you for having me. I’m excited to discuss this innovative development.

DeepSeek and the democratization of AI

Archyde News: Kingdee’s move to leverage DeepSeek is making headlines.How meaningful is this shift toward open-source AI for businesses, particularly in the U.S. market?

Dr. Sharma: It’s a game-changer. Open-source models like DeepSeek drastically reduce the barrier to entry for AI adoption. Previously, the cost of proprietary AI models was prohibitive for many businesses, especially small and medium-sized enterprises. Now,companies can access powerful AI tools to streamline operations,improve decision-making,and create new services without the million-dollar price tag.

Kingdee’s Cosmic Platform: Tailoring AI Solutions

Archyde News: Kingdee’s “Cosmic” platform seems critical in this shift. Can you elaborate on how it empowers businesses to create custom AI agents?

Dr. sharma: Cosmic provides a user-friendly framework that allows businesses to tailor AI solutions to address their specific needs. Think local banks creating AI to detect fraud or retail chains using AI to personalize customer experiences. This level of customization wasn’t easily achievable before, and it promotes innovation and competition in the AI landscape.

implications for U.S. Businesses and Future Outlook of Open-Source AI

Archyde News: What are the most promising applications of AI for U.S. businesses, and what are the key opportunities?

Dr. Sharma: We see exciting potential across various sectors. In financial services, AI can enhance risk modeling. In healthcare, we can use the technology for diagnostics and personalized treatments.Manufacturing can benefit from optimized supply chains, and retail can leverage AI for personalized customer experiences and inventory management. The key is an understanding of the opportunities and risks.

Addressing challenges and Counterarguments of AI Hegemony

Archyde News: Of course, challenges remain. What are the critical considerations when adopting open-source AI?

Dr. Sharma: Data security and privacy are paramount. Robust security measures are essential to safeguarding sensitive information. We also need to address potential algorithmic bias, ensuring fairness and openness in AI systems. Additionally, businesses should address the need for skilled personnel to customize and maintain AI agents. The opportunity to break “AI hegemony” is there but is the industry capable of properly implementing it?

Financial Performance of Kingdee

Archyde News: Indeed, it is exciting to see Kingdee achieve significant gains resulting from AI advancements. How do you see Kingdee’s success influencing its competitors’ moves in this AI space?

Dr. Sharma: Kingdee’s success serves as a strong catalyst for adoption. Similar to Nvidia (NVDA)’s major gains from AI, we can safely assume that the gains will inspire similar investments. Many competitors are very likely taking note, and we can anticipate increased investment and innovation in the enterprise software sector. The market will become increasingly competitive.

A Thought-Provoking Question

Archyde news: considering the rapid pace of AI development, specifically with DeepSeek, how should U.S. businesses prepare for the upcoming challenges while maximizing the benefits of AI democratization?

Dr.Sharma: businesses must approach AI integration strategically. They should invest in training and expertise and create ethical and responsible AI practices, ensuring transparency and mitigating bias to foster trust and maintain a competitive advantage. By prioritizing those key practices, companies can unlock AI’s full potential to provide new solutions and build future value streams.