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What Is AI Distillation — And How DeepSeek Used It To Blindside OpenAI

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Silicon Valley is now reckoning with a technique in AI development that could upend the leaderboard. Distillation is the idea that a small team with virtually no resources can make an advanced AI model by extracting knowledge from a larger one. While the Chinese AI startup DeepSeek didn’t invent the method, its use of the technique roiled the stock market and woke the AI world up to its disruptive potential. Distillation is now enabling less-capitalized startups and research labs to compete at the cutting edge faster than ever before. DeepSeek’s breakthroughs also ushered in the rise of a new open-source order, based on a belief that transparency and accessibility drive innovation faster than closed-door research. That combination — distillation’s newfound traction and open-source’s rise in popularity — is deadly for the competitive edges that the biggest AI players had. This video also includes Bosa’s full interview with Glean CEO Arvind Jain.

Chapters:
00:00 Introduction
01:03 Chapter 1: Distill and conquer
06:47 Chapter 2: A new open-source era
10:05 Chapter 3: AGI at all costs
12:47 Chapter 4: Glean CEO interview

Anchor: Deirdre Bosa
Produced by: Jasmine Wu, Drew Troast, Laura Batchelor
Edited by: Lisa Setyon
Senior Director: Jeniece Pettitt
Animators: Jason Reginato, Christina Locopo
Editorial Support: Erin Black
Additional Footage: Getty Images

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What Is AI Distillation — And How DeepSeek Used It To Blindside OpenAI

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Why Audi Is Pushing Three New SUVs

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Audi sales have struggled over the last several quarters in the US. The brand is challenged by tariffs, a shift away from EVs and vehicles that are neither selling well nor garnering the critical approval for which Audi had been known in the past. Competitors BMW and Mercedes-Benz are performing better overall. The brand has unveiled three new SUVs in the US this year. The three row, full-size SUV is the third SUV it has unveiled in 2026. This product offensive will give Audi the “youngest” SUV lineup in the US premium market, the company said. Analysts say this new lineup, along with other updates to other vehicles, can give the brand a boost. But some of Audi’s challenges are structural.

Produced, Shot and Edited by: Natalie Rice
Reporting by: Robert Ferris
Animation: Christina Locopo, Alisa Stern
Senior Director of Video: Lindsey Jacobson
Additional Footage: Getty Images, VW Group

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How Audi Is Trying To Claw Its Way Back From A 30% U.S. Sales Drop

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Walter Mossberg: Choosing The iPhone 7 Is Tougher Today | CNBC

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Walter Mossberg, The Verge executive editor, gives his take on the iPhone 7.
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Walter Mossberg: Choosing The iPhone 7 Is Tougher Today | CNBC

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Inside the booming business of wellness

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A growing number of consumers are seeking out third spaces and membership clubs focused on wellness to improve their health while also socializing.

Companies like Bathhouse, Othership and Glo30 have hopped on the trend, offering third spaces centered around wellness with opportunities to foster social connections.

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Best Buy Is Shrinking Some Stores. Here’s Why That’s A Good Thing

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Consumer electronics retailer Best Buy is testing out a new format as it tries to steady the business and boost sales growth. It’s opening new, smaller-scale stores this summer in markets about half the scale of its traditional locations. CNBC’s Laya Neelakandan spoke exclusively with incoming CEO Jason Bonfig about his plans for the concept.

Produced, Shot and Edited by: Natalie Rice
Reporting by: Laya Neelakandan
Animation: Jason Reginato, Emily Park
Senior Director of Video: Lindsey Jacobson
Additional Footage: Best Buy, Getty Images

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Best Buy Is Shrinking Some Stores. Here’s Why That’s A Good Thing

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Artificial Intelligence In Its Infancy: Intel CEO Brian Krzanich | CNBC

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Brian Krzanich, Intel CEO, discusses his company’s efforts to invest in artificial intelligence and autonomous vehicles through Alphabet’s Waymo partnership.
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Artificial Intelligence In Its Infancy: Intel CEO Brian Krzanich | CNBC

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