Alibaba Unveils Qwen 2.5-Max, Challenging DeepSeek in AI Race

February 3, 2025

In a bold move following DeepSeek’s viral success, Chinese tech giant Alibaba has introduced its latest AI model, Qwen 2.5-Max, with the goal to make waves in the rapidly evolving AI space.

Launched on the first day of the Lunar New Year, Alibaba asserts that its enhanced model surpasses competitors like ChatGPT, Meta’s Llama, and DeepSeek in a majority of performance benchmarks.

Alibaba’s release of the upgraded Qwen 2.5-Max follows the debut of DeepSeek’s R1 model, which has garnered attention for offering similar performance to top AI models at a significantly lower development cost.

DeepSeek’s innovation has had a significant effect, and contributed to a major dip in the market value of leading tech firms. Notably, Nvidia saw a record loss of nearly $600 billion, marking the largest single-day decline in U.S. stock market history.

In its testing, Alibaba says that its upgraded model achieved an impressive 89.4 on the Arena-Hard benchmark, which evaluates how effectively AI systems respond to human prompts.

Additionally, in testing on the MMLU-Pro benchmark, which measures an AI model’s ability to solve problems at a college level, Alibaba’s Qwen 2.5-Max outperformed DeepSeek and showed comparable performance to ChatGPT, according to the company’s results.

“This endeavor holds the promise of enabling our models to transcend human intelligence, unlocking the potential to explore uncharted territories of knowledge and understanding,” developers stated on GitHub. 

Much like DeepSeek’s approach, Alibaba’s Qwen 2.5 utilizes a “mix of experts” architecture, designed not just to compete with but to exceed the capabilities of DeepSeek’s models.

This architecture enables the system to selectively activate specific parameter sets, boosting efficiency and allowing it to manage more complex tasks without significantly increasing resource demand.

OpenAI “Bites Back”

Just days after OpenAI CEO Sam Altman promised improved models in the future, the company unveiled its newest addition to the reasoning series, the o3-mini. This new model is designed to be more cost-effective and is accessible through both ChatGPT and the API.

First previewed in December 2024, OpenAI’s latest model boasts impressive STEM performance, excelling in science, math, and coding, while maintaining the affordability and low latency of the o1-mini.

OpenAI’s latest release offers streaming support and three customizable reasoning effort settings. Developers can adjust the model to prioritize either deep analysis or fast performance, depending on the task at hand, optimizing for either complexity or speed as needed.

The new model has received praise for its strong performance in deep research, automation, coding, and decision-making. However, some users reportedly feel that it lags behind in user interface design and speed, especially when compared to competitors like Claude or o1-pro. 

Although it surpasses DeepSeek R1 in certain benchmarks, particularly complex logic tasks, it does not consistently outperform other models across all areas. The launch has ignited both excitement and discussions within the AI community, raising questions about its potential impact on the future of AI development and use.

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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

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