Wednesday, 29 January 2025 - There’s a new kid in town

Good morning, it’s Wednesday, 29 January. In your Squiz Today…

• China shakes up the global AI sector

• Violence ramps up in Congo

• And Japan tastes sweet victory at the Pastry World Cup… 🧁

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Squiz the Weather

Squiz Sayings

Said a disappointed visitor to the Louvre in Paris, where large crowds have been ruining the experience for many. Announcing his latest grand projet, French President Emmanuel Macron said the museum would be upgraded, with its star attraction, Leonardo da Vinci’s Mona Lisa, moved to its own room and a new entrance designed. The painting’s subject seems quietly pleased…

The US faces a DeepSeek challenge

The Squiz

US artificial intelligence (AI) stocks have recovered slightly after DeepSeek's R1, a Chinese-made AI chatbot, triggered record losses in the US market. When DeepSeek revealed it had come up with an AI model that could match the big tech leaders at a fraction of the price, several stocks went south - most notably Nvidia, the company that makes the chips DeepSeek uses. Nvidia lost almost a trillion US dollars in value in a single day, the largest drop ever recorded on Wall Street. Aussie stocks fared a bit better overall - the ASX200 dropped by 0.1%, but companies with an AI focus did cop a hit.  

So we’re gonna be hearing this word a lot…

We sure are, so here’s a DeepSeek dive, in case you’re asked… It’s a Chinese startup launched in 2023 that makes a generative AI assistant, or chatbot, similar to ChatGPT. It’s owned by another Chinese company called High-Flyer, which bought heaps of Nvidia-made computer chips in 2021 and has been releasing language models (which power chatbots) ever since. When DeepSeek said it was capable of the same things as US companies like OpenAI while using way less chips - 2,000 compared to over 16,000 - that sent stock prices spiralling. One other thing to clock - it had some blind spots when it came to issues sensitive to China like Tiananmen Square and Taiwan - raising censorship concerns. Science Minister Ed Husic has also warned Aussie users to be aware of privacy and data security risks associated with Chinese tech.

Why the big reaction?

Experts say the new Chinese tech has changed the prevailing wisdom about AI - that it requires huge amounts of computer chips, or that only the very biggest tech companies have the ability to compete in the industry. If that theory is disproved - and there are doubters about that - investors will rethink the value of those companies, at least in the short term. That was reflected in the local market, as Aussie companies investing in data centres dropped, like NextDC and Goodman Group. In the US, President Donald Trump - who has launched an $800 billion investment in AI infrastructure called Stargate - says a competitor from China is a good thing because it will force US companies to work harder to compete - and Nvidia reacted by saying DeepSeek’s advances will mean more demand for its chips, not less.

Taking you on a journey through Spain

A couple of exes, a bromance, a complicated sister relationship and a stranger named Rodney - they’re all jammed into a campervan travelling through the Spanish countryside… That’s the premise of The Road Trip, the new series based on bestselling author Beth O’Leary’s novel. And with a happily ever after on the cards, it’s the perfect summer rom-com to dive into. Check out the trailer now. All episodes now streaming only on Paramount+.

Squiz the Rest

Violence ramps up in Congo

The Democratic Republic of Congo (DRC)’s largest eastern city, Goma, has become the epicentre of the latest bout of fighting in a decades-long conflict. You can read up on the backstory here, but rebel groups have long been interested in eastern DRC because of its mineral-rich land. Over the weekend, the rebel group M23 claimed to have taken over Goma (a city of about 3 million people) - but that hasn’t been confirmed. Regardless, their move into Goma came as a surprise, and international leaders are pointing the finger at the DRC’s neighbour, Rwanda, for supporting the rebels. France is also pushing for a UN Security Council resolution to call Rwanda out. The UN hasn’t done that yet, but has called for the withdrawal of “external forces”...

A deadly daylight shooting

One of Victoria’s most high-profile gangland leaders, Sam ‘The Punisher’ Abdulrahim, has been shot dead. Police say they’re investigating the targeted murder which happened in an underground carpark at the Quest serviced apartments at Preston, in Melbourne’s inner north, around 10.30am yesterday. Reports say the shooting of 32yo Abdulrahim didn’t come out of the blue… The ex-Mongols bikie-turned-boxer has been described as Melbourne’s “most hunted” man, and had a bounty on his head for years, surviving several assassination attempts. Victoria Police Detective Inspector Dean Thomas said it’s believed Abdulrahim was walking to his car with his girlfriend yesterday when an offender fired “a number of shots” at him. The woman wasn’t injured, but Thomas said she’s “extremely distraught and upset”.

Virgin drops a domestic route

Our second-largest airline, Virgin Australia, has canned direct flights between Darwin and Adelaide during the Northern Territory’s peak tourist season, blaming “low forecasted demand”. The service was due to return on 22 June, with 3 scheduled return flights a week. But yesterday, a spokesperson for the airline said the reshuffle would allow the airline “to reallocate capacity to markets where demand is higher” with more Darwin flights being added from Brisbane and Melbourne. The decision hasn’t gone down well with Territory leaders… Chief Minister Lia Finocchiaro called it “awful and unbelievable”, saying it was part of a broader issue of sky-high fares and a lack of flights to Darwin. Tourism Top End General Manager Samantha Bennett was also disappointed but pointed out that “the Darwin-Adelaide corridor continues to be served by both Qantas and Jetstar”.

A new discovery rock-ets the science world

The CSIRO has notched a win with a trial of its new telescope technology, discovering 20 mysterious signals in space. If you’re a science nut who wants to dig into the specifics of how the ‘CRACO’ system works, you can do that here - but essentially, it’s a system of computers and accelerators that supercharge the ‘ASKAP’ radio telescope. It helps the telescope sift through “huge volumes of data”, according to Keith Bannister, CRACO’s developer and CSIRO astronomer/engineer. Of particular interest are fast radio bursts (aka - millisecond-long bright flashes of radio waves from space) and neutron stars (the core of a large star that’s collapsed). Using CRACO, the Australian research team has already found at least 20 fast radio bursts - and the mystery surrounding them is how they actually occur. They’re one small step towards figuring it out…

You’ve gotta knead with speed

Team Japan has come out on top in the Pastry World Cup, an event full of highs and filos held in Lyon, France. Taking place every 2 years, this year’s competition challenged 3-member teams to make 3 desserts in 5 hours - frozen, restaurant-quality and chocolate - that would represent their country. Team Japan made a lemon, pear, marigold and chocolate granita as their showstopper, besting Team France on home turf, whose choc-hazelnut soufflé mousse eggs could only jag silver. On top of nationally inspired treats, the teams also wore patriotic outfits like Day of the Dead masks for Mexico or these très Français berets for the home team. Sadly, no Aussies made the finals this year, so our lamington/pavlova/fairy bread combo will have to wait for its day in the sun…

Apropos of Nothing - Critters edition

After 43 monkeys went AWOL from a research facility in South Carolina, the local police have finally managed to catch ‘em all by rounding up the remaining holdout - 3 months later. They’re now back “eating peanut butter and jelly sandwiches” - it’s alright for some…

Move over Grey’s Anatomy and Family Guy; the little Aussie cartoon that could, Bluey, has topped the list of most-streamed TV shows in the US for 2024. The show racked up 55.62 billion viewing minutes on Disney+ last year - just shy of the all-time record set by Suits in 2023. Hooray!

A Danish amateur fossil hunter has made quite the find - he’s discovered a fossilised piece of vomit that dates back 66 million years. The wondrous chunder has the local museum very excited because they say it can help “reconstruct past ecosystems”. Everything’s got a purpose…

Squiz the Day

9.00am (AEDT) - Social Services Minister Amanda Rishworth to announce the future of Australia’s Disability Strategy - Geelong, Vic

9.00am (AEST) - A decision is due for a bail application by a woman accused of poisoning her baby and posting the symptoms on social media - Brisbane

11.30pm (AEST) - A verdict is due in the judge-only trial of 14 members of a Toowoomba religious group accused of the murder or manslaughter of 8yo Elizabeth Struhs by withholding her diabetes medication - Brisbane

3.30pm (AEDT) - Men's Cricket: 1st Test, Sri Lanka vs Australia - Galle, Sri Lanka, and broadcast live on 7Plus

RFK Jr, US President Trump’s pick to head the Department of Health, will face questions from senators in 2 days of confirmation hearings - Washington DC

Surf Coast Classic cycle races (on until 30 January) - Lorne to Torquay, Vic

🐍 Lunar New Year

ABS Data Release - Consumer Price Index, December Quarter; Monthly Consumer Price Index, December  

Bubble Wrap Appreciation Day 

Birthdays for Germaine Greer (1939), Oprah Winfrey (1954) and Stephanie Gilmore (1988)

Anniversary of: 

• The Raven by Edgar Allan Poe being published in the New York Evening Mirror (1845) 

• the President of France announcing a “definite end” to France's nuclear testing program just one day after the country exploded a nuclear device in the South Pacific (1996)