February 2, 2025 • 31 mins
Tariffs: California’s building industry is warning of short-term pricing disruptions to construction materials with 25% tariffs on Canada and Mexico. Beginning Tuesday, companies bringing products into the United States from Canada and Mexico will pay a 25 percent tariff; importers bringing products in from China will pay an additional 10 percent on top of existing levies. DeepSeek: When lots of people are worried about bubble valuations in stocks or a specific sector, all it takes is a small poke to make the whole thing wobble precariously. Why it matters: That can cost investors $1 trillion or more in a single day, as happened Monday with the global AI rout. It can also challenge the fundamental assumptions behind an entire economy, like the nascent Trump administration's push to invest hundreds of billions of dollars in American AI supremacy. Why not just ban it like we did TikTOK?: With the sudden advancement of China’s Deepseek R1 Artificial Intelligence model, the US is left scrambling to catch up and trying to figure out if China cheated. That leaves some wondering if the US can just 86 the Chinese product?
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
You're listening to KFI AM sixty on demand, What Happen.
Speaker 2 (00:04):
Here and Chris Meryl Pleasure to be with You. Grammys
are underway and big collection of artists on the stage singing.
Speaker 3 (00:13):
We Love La.
Speaker 2 (00:15):
So that's fun. We'll give you an update on the Grammys.
We'll talk show business coming up here at about an hour,
also five thirty this evening. What the heck is the
Deep Seek? I remember when deep Seek was a big
story decades ago. It seems like now, nope, Monday, but
deep Seek? What in the heck is it? And is
(00:36):
it going to unseat everything that's going on in America?
Speaker 3 (00:40):
We'll discuss it. Been a busy week.
Speaker 2 (00:42):
More more executive orders this week, a lot more executive orders.
You thought we we got the first wave of executive
orders might be it, but now then we got another wave.
Remember the first wave was things like California asked your
tearing down in the water and so you know we're
doing that and uh, and then we got the we
got the executive order this week that said de I
(01:03):
was to blame for the the collision outside of Reagan
International Airport. So Andrew, you've done some research on that.
Do we know anything about the pilots and the the
the black Hawk helicopter. It's saying that wrong all week.
Black Hawk, yeah.
Speaker 3 (01:19):
Helicopter, black Hawk, right is what it is? Black Hawk?
Yeah yeah, black Hack helicopter.
Speaker 2 (01:24):
Yeah yeah, I mean they released the wait was that
do they have different sizors at one? They don't have
like a little black Hawk helicopter and a big black
Hawk helicopter.
Speaker 3 (01:32):
They just have a black Hawk helicopter.
Speaker 4 (01:34):
Right, Yeah, It's just it's just one one size, one
size fits all.
Speaker 2 (01:37):
Okay, So we released the names and there were no
funny sounding names on there.
Speaker 3 (01:44):
Well, I mean everybody. I mean, Chris Merrill sounds like
a funny name.
Speaker 2 (01:48):
Probably trans Yeah. Yeah, no, I love that we had there.
The investigation is out its infancy. The executive order blaming
DEI came out before we found the black boxes, which
are orange.
Speaker 3 (02:00):
This is weird.
Speaker 2 (02:01):
Uh, that executive order said DEI was to blame. I
didn't know you could just executive order blame things. I
didn't know that was a possibility. I got to get
with the president see if he can help me out
a little bit.
Speaker 3 (02:14):
Yeah.
Speaker 4 (02:14):
So the pilot was Captain Rebecca Lobach or Lobick, okay, yeah,
born Brian, But okay, go ahead. Chief Warrant Officer Andrew Eves.
Speaker 3 (02:25):
Oh, Andrew's definitely a DEI named.
Speaker 4 (02:28):
Well and staff Sergeant Ryan O'Hara, oh, oh O'Hara.
Speaker 2 (02:35):
So okay, I think we're getting the picture here. There's
no picture here, there's none. It's just regular old Americans
flying a helicopter and something bad happened. But by god,
what do they what do they say? Don't let a
good crisis go to waste? So we got to turn
that political? Then writing executive order blaming things you didn't
(02:57):
go with the president. See if the president can help
you out on your maritals. What do you think about this? Well,
the latest fight between Chris and Missus Merrill is definitely
because her mother in law is nosy. There's no other reason.
He is not to blame. It is the mother in law.
Executive order signed done, so let it be written, So
let it be done.
Speaker 4 (03:15):
So I was working the night that this was breaking news,
and it had started as a small plane crashing into
the river and stuff, and then how's the night progress?
It was evident that that wasn't the case. I think
the most shocking thing that came out that night as
I was reporting on this here at KFI, was the
President immediately coming out, you know, with the inkling that
(03:37):
you know this was probably the military's fault. That I
found very fascinating for him to just come flat out
with that the night of.
Speaker 3 (03:45):
Yeah, it does sound like that's probably the case.
Speaker 2 (03:47):
But he's not one to take information and process it
and hold any cards up his sleeve.
Speaker 3 (03:51):
Is he? No, what you see is what you're getting
with him?
Speaker 2 (03:56):
Yeah, I don't Yeah, I don't think there's a whole
lot of Uh, what do they like to say on
eight Chan?
Speaker 3 (04:03):
Raoul?
Speaker 2 (04:03):
Is it they like to play the four D chess?
Is that what he's doing? I don't know. I've never
been on eight Chan. I don't know.
Speaker 3 (04:10):
Neither have I. Buddies.
Speaker 2 (04:11):
Oh sure, you and your CD underbelly friends.
Speaker 3 (04:16):
I love that.
Speaker 2 (04:17):
I've taken a look at the upcoming Super Bowl and
I officially declaring that the Chiefs are only in the
super Bowl because of officiating that's been very, very unfair
to all the other teams. It's an executive order, so
let it be written.
Speaker 3 (04:31):
So let it be done.
Speaker 2 (04:33):
When you think about that Rowl executive order declaring the
Chiefs cheaters.
Speaker 3 (04:40):
Nailed it.
Speaker 2 (04:42):
We got the other executive order this week that imposes
tariffs on Canada, Mexico, and Jina. So the Trump tariffs
are set to take effect this week. What is going
to happen with that?
Speaker 5 (04:56):
Just as quickly as President Trump announced increased tariffs on
reports from Mexico, Canada and China.
Speaker 2 (05:02):
They've treated us very unfairly, very unfairly, just like the
referees did to Buffalo.
Speaker 5 (05:08):
Tonight, there's swift retaliation from both our North American neighbors.
Speaker 6 (05:11):
Canada will be responding to the US trade action with
twenty five percent tariffs against one hundred and fifty five
billion dollars worth of American goods.
Speaker 3 (05:22):
Crap means my syrup is going to go up.
Speaker 5 (05:26):
The emerging trade war comes after the President signed executive
orders hitting Canada and Mexico with twenty five percent teriffs
and China with ten percent tariffs, blaming them for illegal
immigration and drug trafficking.
Speaker 2 (05:37):
The wait Canada is blame for drug trafficking and illegal immigration.
I saw some numbers on that and it shows one
percent of our drugs and undocumented immigrant crossings come from
the northern border. I don't know how you cracked down
(05:59):
on the northern border. Either it's big, it's big, lee,
it's very bigly.
Speaker 5 (06:05):
President well aware the cost could fall on average Americans.
Speaker 2 (06:08):
And there could be some temporary, short term disruption and
people will understand that.
Speaker 3 (06:13):
Experts.
Speaker 2 (06:14):
No, here's one thing we know about Americans. We do
not understand it. We were going through a global pandemic
and the price of toilet paper skyrocketed, and you know what,
we did not understand that.
Speaker 3 (06:25):
It was our fault. We did not.
Speaker 2 (06:28):
So the idea that we're going to understand it negative.
Speaker 5 (06:31):
The American families could pay upwards of eight hundred dollars
more this year after companies that are stuck paying the
increased tariffs then pass along the costs. There are tens
of billions of dollars worth of groceries that come from
our neighbors to the North and South.
Speaker 2 (06:43):
Groceries. There's a word. It's the word I've been using.
A lot of other people don't use it, but I
do groceries, groceries. A lot of people don't know that word.
Not exaggerating, he did say that in an interview.
Speaker 5 (06:55):
Canada is our biggest importer of grains, livestock and meat.
Sugar and pulp tree. Mexico provides the US more fruits
and vegetables than any other country. Brandon Parsons, an economics
professor at Pepperdine University, says, with certain products like avocados,
where ninety percent come from Mexico, Americans will just see
higher prices.
Speaker 7 (07:13):
But in the case of all in the case of avocado,
where there isn't necessarily you know, a whole lot of
you know, other countries, to my understanding, none that are
selling them, it's likely that that cost is just going
to be you know, added to the consumer.
Speaker 2 (07:30):
Yeah, it is, of course it is from Mexico. I'm
not crazy about that, not even a little bit.
Speaker 5 (07:37):
Skis the same could happen for alcohol, clothes, electronics, and cars.
Speaker 2 (07:41):
Shut the front door like booze is gonna go up.
Speaker 5 (07:44):
The tariffs on oil and gas could also hide prices
of the pump by as much as seventy cents a gallon.
Speaker 2 (07:49):
Yeah, except he said that, uh, you know what, the
people will understand, but they will not understand if the
gas prices go up.
Speaker 3 (07:56):
So we're going to exempt that one tonight.
Speaker 5 (07:58):
Canada, matching Trump's town I refs and percentage and scale
will urge in Canadians to avoid American staples like.
Speaker 6 (08:05):
Like the American tariffs, our response will also be far
reaching and include everyday items such as American beer, wine, and.
Speaker 2 (08:15):
Bourbon, okay, and more. I'll tell you what that is
in just a second here. But the people will understand.
It might be a little bit short term pain, but
they'll get it in the long run. No, Canadians won't
understand that either. They might even become impolite. Gosh, dang it,
excuse my French. Tell you what else you're gonna pay
(08:37):
more on and what the Canadians are gonna pay more for?
Speaker 3 (08:39):
That's next. Chris Merril KFI AM six forty relab everywhere
on the iHeart Radio app.
Speaker 1 (08:43):
You're listening to KFI AM six forty on demand.
Speaker 2 (08:48):
Chris Mariland kfi A six forty on demand anytime the
iHeart Radio app. Raoul is monitoring the Grammys forman, Did
did you tell me that Trevor Nolla, who's hosting it,
he stole my joke.
Speaker 3 (08:59):
Yeah, he dropped the maple syrup fifty bucks.
Speaker 2 (09:02):
All right, So I'm gonna take you behind the scenes
a little bit. Uh you are talking to and please
don't tell your friends. I just don't have time to
be answering all of their questions. I'll answer your questions,
but that's it. You were talking to an amateur maple
syrup farmer. Yep, lead a brag yep. In fact, I
(09:26):
have two weeks in March that I have blocked off.
I will be headed back to the homestead in Michigan
to make some syrup.
Speaker 4 (09:34):
So what do you call it? Merrill's Maples? That's nice, Andrew,
I'm a wordsmith.
Speaker 3 (09:41):
Yeah, I'm on the radio.
Speaker 2 (09:43):
You should be hosting this bat No, I'm sorry, what
are you gonna call it?
Speaker 8 (09:46):
Chris?
Speaker 3 (09:47):
I mean, I hadn't thought of that yet.
Speaker 2 (09:49):
So yeah, Now, now that Andrew says that I may
hire him as my marketing director, there we go. Yeah,
you're welcome. Uh here's the thing. If you get I
own maple syrup, it's already sixty four gallon sixty four
dollars a gallon, which, if you make your own maple syrup,
is a steal because I spend about three hundred dollars
(10:10):
every year and I get about one and a half gallons.
It's just a hobby. I love it. But you know,
you don't expect hobbies to pay it back, but I
end up going through a lot because I have to do.
I got to cook it down. Power ain't cheap. So hey,
you a fun little fact. Uh No is talking, of course,
about the trade war between Canada and the United States
as we were just discussing.
Speaker 3 (10:30):
Here's what Justin Trudeau said, the PM of Canada.
Speaker 6 (10:34):
I am announcing Canada will be responding to the US
trade action with twenty five percent tariffs against one hundred
and fifty five billion dollars worth of American goods.
Speaker 3 (10:46):
That's what I'm talking about.
Speaker 6 (10:48):
This will include immediate tariffs on thirty billion dollars worth
of goods as of Tuesday, followed by further tariffs on
one hundred and twenty five billion dollars worth of America
and products in twenty one day's time to allow Canadian
companies and supply chains to seek to find alternatives.
Speaker 2 (11:08):
Your hosers, So what are we going to be paying
more for?
Speaker 3 (11:13):
Yeah?
Speaker 2 (11:13):
Obviously maple syrup, yes, but higher tariffs in Canada. Canada
is going to get hit with the increased costs on
things like beer, wine and bourbon, and fruit and fruit juices.
In fact, those are the things that Trudeau is targeting specifically.
So stuff coming from Canada is going to cost us more.
(11:37):
Stuff coming from the United States to Canada is going
to cost Canadians more after their tariffs, their retaliatory tariffs
go into effect. Now what's interesting is that President Trump
is trying to punish Canada for I'm just not joining
the Union. But Trudeau is punishing Trump voters. He's specifically
(11:57):
targeting items that come from dominantly Republican voting states, which
is why he's saying to all the Canadians, aosier, stopped
drinking your oj from Florida, so specifically saying, don't take
the fruits. Those are coming from Republican states, not US obviously,
but other states that grow fruits. The alcoholic beverage is
(12:19):
beer wine and Kentucky bourbons. Trump states he is targeting
Trump states specifically household appliances as well, including Whirlpool based
in Michigan, which is a swing state. Also Delicious maple syrup,
but it swung back to Trump this year, so they
(12:41):
get punished too. So well, Trump is saying Canada is
going to pay a price. Canada is saying Trump voters
are going to pay a price. So this trade war
is getting very personal all of a sudden. Now they're
as much as you're hearing twenty five percent on Canadian products,
twenty five percent on products out of Mexico. But we're
sparing the energy sector. It's not gonna spare other sectors.
(13:03):
Like when you're getting ready for your Super Bowl party
and you want to make the walk on.
Speaker 3 (13:06):
Morley, avocados from Mexico, that's gonna go up.
Speaker 2 (13:10):
It's not gonna go up twenty five percent though, because
what happens is the tariffs are paid by the importers.
The importers are gonna pass the cost onto you, but
the importers take whatever comes in from say Jina, or
comes in from Canada, comes in from Mexico, and then
they double the price roughly. I'm just speaking in generality here.
So let's say you have an avocado from Mexico that's
(13:31):
coming in, and I'm just gonna use easy numbers.
Speaker 3 (13:33):
Let's say that it's a dollar.
Speaker 2 (13:36):
The importer says, uh, okay, I'm gonna I'm gonna then
resell that at wholesale price is for two dollars.
Speaker 3 (13:42):
That's how I'm making my money on it. And then
the the store.
Speaker 2 (13:47):
You go to Ralph's and that avocado is four dollars
because they're gonna double it as well. The import tax.
Import tariff does not go on the four dollars. It
goes on the one dollar that the importer is paying.
So that would then be your one dollar avocado becomes
a buck and a quarter. The importer is going to
double that up to two fitty and Ralph's is gonna
(14:09):
up that. There's from four dollars up to five dollars
again doubling along the way, which means that it's a
twenty five percent tariff, but your price is only I
guess it's still going up twenty five percent. Now, you're screwed.
So I was doing the math on that wrong. You're
you're you're totally screwed. Yeah, enjoy your sour cream dips
because you're not having guacam only this year, totally hose Man.
(14:34):
But the price of the pump should go up because
he did spare energy, although Trudeau says he's going to
limit the exports now on energy to the United States
again to punish us. Your stock portfolio, your retirement probably
dropped this week, and it's all because of Jine. Why
(14:54):
don't we just ban deep Seek? We ban everything else,
just bann deep Seek? Why are we doing that? It's
next Chris Merril KFI AM six forty. We're live everywhere
on the iHeartRadio app.
Speaker 1 (15:04):
You're listening to KFI AM six forty on demand, thirty minutes.
Speaker 2 (15:09):
Away from an update on the Grammys. We'll talk about
show business. That is ahead Chris Merril kfi AM six
forty and on demand any time the iHeart Radio app.
So deep Seat comes out this week, and if you're
like me, you'd never heard of it. If you're in
the note, maybe you did. Because deep Seek has had
a few incarnations. They in the same way that we
(15:30):
have Chat GPI or Chat GPT. Excuse me, Chat GPT,
Chat GPT two point zero and I think we're at
four point zero.
Speaker 3 (15:37):
Now.
Speaker 2 (15:38):
All these different ais have iterations, and they get better
with each iteration. A lot of that has to do
with the new processing speed comes out. So n Video
will release a new chip that is more efficient, that
probably uses more power but can compute things faster. So
now we can upgrade stuff. The learning models change, and
(15:59):
so all of us Chat GPT original versus four totally
different things, and the same way Deep Seek has had
earlier versions, This latest version Deep SEEKAR.
Speaker 3 (16:11):
One is the mac Daddy. What he got here.
Speaker 2 (16:18):
Is a team of young engineers in China and their
boss decided, I'm going to grab people that don't know
what they're doing because I don't want people to try
to recreate what's already there. So he said, give me
the brightest engineers who don't know how AI works, and
(16:39):
let's train them up so that they can think outside
the box.
Speaker 3 (16:44):
Not bad, but it takes some time to get there,
all right.
Speaker 2 (16:47):
So he grabbed a lot of really smart engineers and said,
start from scratch, all right. So not only that, but
he smart guy. He does these programming shortcuts, and he
finds a loophole in some American roles that allows him
to get some advanced chips. Not the same Nvidio chips
that we have now, but he definitely started with some
(17:09):
Nvidio chips that were a few generations older. So Deep
Seat comes along and over the weekend last weekend, and
I don't even know this is happening. We're doing the
show last weekend. Monday, I wake up and all hell
breaks loose. So last weekend this thing is released, and
I guess it had been out for a while, but
(17:29):
all of a sudden it starts to take hold, becomes
the number one downloaded app at the Apple Store, and
suddenly we see a trillion dollars in market value drop
off of the stock market on Monday because we have
sunk so much money into not only AI technologies, not
only into Nvidia, which was the most valued American company.
(17:53):
In fact, I think it was the most valued in
the world. It surpassed Apple for a while. We said,
you know, we're all in on this. Then it comes
out and they're able to do it for far, far less.
How much less. The Chinese claim that they spend about
six million dollars on this AI model. In comparison, we've
spent a trillion on our AIS six million to a trillion.
Speaker 3 (18:18):
Those numbers are tough.
Speaker 2 (18:19):
Let me see if I can make this a little
bit easier, because sooner, lady, you get to enough zeros
and you go, I can't comprehend that.
Speaker 3 (18:26):
So let's think of it this way, Kayla, and I
are you?
Speaker 2 (18:30):
Kayla?
Speaker 3 (18:31):
You want to grab lunch? She says, sure.
Speaker 2 (18:35):
Uh, So we go to Subway and I order a
foot long cold cut combo. Six bucks. Kayla orders a
foot long cold cut combo. It is one million dollars.
Speaker 4 (18:50):
A million dollars true, I mean, well not to have
a million dollars just been on a sandwich.
Speaker 2 (18:56):
But when we talk about six million versus a trillion,
that seems like, wow, that's that's a lot of difference.
When you relate it to six million to one trillion,
is the same as six dollars to a million dollars.
Now we're getting into a range that we can grasp
a little bit easier. Or six pennies to one hundred
thousand dollars, Well, that's not right. Ten thousand dollars, six pennies,
(19:23):
ten thousand dollars. Now all of a sudden, we go, WHOA, Okay,
six pennies I can find in my couch cushions. Ten
thousand dollars is gonna take. It's gonna take me a
few years to save up right, Just why nobody can
afford a house? Uh So that's the difference here what
makes them special? ABC seven was.
Speaker 3 (19:44):
Talking about this very story as it broke earlier this week.
Speaker 8 (19:46):
Shares of Nvidia, which makes the chips use to power
AI plunging nearly six hundred billion dollars, the largest single
day loss for stock. Ever, that's more than the entire
value of Netflix.
Speaker 2 (19:59):
Whoa wow, Okay, Nvidia lost an entire Netflix in one day.
Speaker 8 (20:07):
The selloff followed the debut of Chinese AI chatbot are
one from deep zek, which is said to be more
powerful and efficient than US competitors like Open AI and Google.
Chatbots are computer programs that can simulate human conversation and
perform complex tasks. Deep zinc saying it's chatbot was developed
for less than six million dollars, a fraction of the
(20:29):
cost of its competitors, using less energy and inferior processing chips.
Speaker 2 (20:35):
Yeah, you know, speaking of the energy, that's another stock
that is shot up too. A bunch of the energy
stocks have gone way up in price because we know
that AI is is the biggest tech advancement since the
invention of the Internet. And as a AI it sucks
down power like a starving man rescued from the desert
(20:56):
and given a milkshake. And so which don't do that
if you're starving it in the desert and you're drink
a milkshake, This is gonna give me the runs. But
they are it sucks down the energy so much that
we went there's gonna be a lot of investment in
more energy infrastructure.
Speaker 3 (21:14):
Those docks got hurt earlier this week too.
Speaker 9 (21:15):
Previously, we're thinking with open aie with Google, the more
chips you have and the longer you train the i
AI models, the tender performance they will get. However, with Tipsy,
they're telling us actually don't need damn many chips.
Speaker 8 (21:27):
The President last night saying the US will dominate and
if there's a cheaper way to achieve the same result,
that's a good thing.
Speaker 3 (21:35):
Oh, it is.
Speaker 2 (21:36):
The release of deep Seek AI from a Chinese company
should be a wake up call for our industries. Open Okay,
So if it's if we can do it cheaper, that's
a good thing. Well, what if I could get my
lumber from Canada cheaper? Would that be a good thing?
Because we have to rebuild southern California, so construction costs
(21:58):
are going out because we're gonna.
Speaker 3 (21:59):
Play a trade war with Canada.
Speaker 2 (22:01):
And yet we see what's going on with Jana and
Deep Seek and we go, this is a good thing.
Speaker 3 (22:07):
It's a wake up call. It's great Open Ai.
Speaker 8 (22:09):
Sam Altman, who is partnering with Trump on Stargate has
warned about artificial intelligence getting in the wrong hands.
Speaker 2 (22:15):
We do worry a lot about authoritarian governments developing this.
Speaker 3 (22:19):
Deep Seek's new app now shaking up the industry.
Speaker 9 (22:22):
Even though these Chinese companies they have the chip constraint,
they do not have the access to all this Nvidia
latest chips, they can still make pretty comparable work. So
I think that tells us to reimagine the cheap expert
control policies, to reimagine the usah China tech race. May
I need to take a different strategy.
Speaker 3 (22:40):
There, Yeah, like more tariffs.
Speaker 6 (22:43):
No.
Speaker 8 (22:43):
Deep Sink is also fully available to users for free,
unlike open AI's chatcipt, which charges you for added features.
As for your four to one K The good news
is stock futures were quieter overnight.
Speaker 2 (22:55):
Yeah, they were a little bit better on Tuesday. We
got some settling. Just the same kind of makes you wonder.
I mean, we just banned.
Speaker 3 (23:06):
TikTok, right, why don't we just ban deep Seek.
Speaker 2 (23:12):
Feels like that's a pretty quick way to shut it down.
Maybe not so fast, my friends, As Lee Corso would say,
why banning deep Seek maybe a little tougher than banning TikTok.
Speaker 3 (23:25):
It's next.
Speaker 2 (23:25):
Chris MERRILF I AM six forty. We're live everywhere on
the iHeartRadio apps.
Speaker 1 (23:28):
You're listening to KFI AM six forty on demand.
Speaker 2 (23:33):
I AM six forty more stimulating talk or give an
update on what's happening at the Grammys.
Speaker 3 (23:37):
Is me addressed?
Speaker 2 (23:38):
There's no business like tel business all right after Brigina
Dougastino six o'clock news that is ahead here, I'm Chris
Merril KF I AM six forty. We're talking about Deep Seek,
which is the Chinese AI company that came upon the
scene this week. For those of us that were not
paying attention, I guess has been out there before, but
(24:00):
all of a sudden, it just rolled the stock market
and it put people into a big old panic. And
then we had a plane crash and forgot all about it.
It's kind of like we had these fires, but then
Deep Seek and we forgot all about the fires nationwide.
I mean, not people here, obviously, but we are moving
through the news cycle very quickly, very quickly. Why don't
(24:24):
we just ban this Deep Seak if it's such a threat,
I mean it comes from China. The Chinese government has
the same access to the data as they do with TikTok,
So why not just ban it? In fact, in some
ways it might even be easier to ban because there
isn't widespread adoption with TikTok.
Speaker 3 (24:45):
What is it?
Speaker 2 (24:45):
One hundred and seventy million Americans have it on their phones,
and so when you ban it, not only does everyone
lose access to it, but you also have certainly hundreds
of thousands, if not a million people are more that
make their entire living on TikTok. So banning TikTok is
problematic for an awful lot of people. Deep Seek, However,
(25:07):
for Pete's sake, we already have, We already have alternatives
that have much wider adoption. And I know it was
the number one downloaded app at the App Store, but
I mean.
Speaker 3 (25:18):
That comes and goes.
Speaker 2 (25:20):
It's not like it's deeply ingrained in our economy like
some of the other social media's are, And why don't
we just ban it? In fact, the US Navy says, okay, listen, semen,
take that thing off your phone. We do not want
any deep Seek on any Navy phones, no deep Seek
(25:41):
on any Navy computers, no deep seek. The only deep
seeking we're doing is with our sonart the other deep
seeking get it off?
Speaker 3 (25:48):
So done, Maybe out.
Speaker 2 (25:52):
Texas Governor Greg Abbott issuing a ban on deep seek
as well for government issued devices. It's the first state
to restrict the popular chato in such a manner. Expect
that others will follow suit. The concern, of course, is
you can't say the Chinese government. You have to say
the Chinese Communist Party.
Speaker 3 (26:08):
That's uh.
Speaker 2 (26:09):
Listen, If you're not gonna use the dog whistle, don't
even blow a whistle at all.
Speaker 3 (26:14):
He said.
Speaker 2 (26:14):
Texas will not allow the Chinese Communist Party to infiltrate
our state's critical infrastructure through data harvesting AI and social
media apps. Texas will continue to protect and defend our
state from hostile foreign actors. In other words, scary words,
lots of scary words.
Speaker 3 (26:31):
Me safe, make you zug zug.
Speaker 2 (26:35):
But there is a concern, obviously that the data that
might be harvested from government systems could create a vulnerability.
All right, all right, that's fair.
Speaker 3 (26:47):
Why don't we just do that.
Speaker 2 (26:48):
All over the place. See, here's the thing. When it
comes to TikTok. You're talking about a social media app
banning that creates some pain for some Americans, but it
isn't critical infrastructure. AI is quickly becoming critical infrastructure to
every business sector there is. In fact, the Super Bowl
(27:11):
this year will be chalk full of AI commercials, whether
commercials that were using AI or commercials about using AI.
Speaker 3 (27:19):
It will be chock full. This is the first AI
super Bowl.
Speaker 2 (27:24):
And this is why simply banning deep seek isn't necessarily
as easy. Imagine if we decided that, uh, the Chinese
automobiles are really bad, so we're gonna ban Chinese automobiles.
That wouldn't be so hard. I mean, it's already tough
(27:46):
to get them over here. Now, imagine if China were
to buy General Motors.
Speaker 3 (27:52):
Oh, you're gonna do that.
Speaker 2 (27:55):
China buys General Motors, and we decide we're gonna ban
all General more vehicles because we're afraid of the Chinese
Communist Party. Well, I mean you could and you'd say, well, yeah,
but you could always buy a Ford, you could buy
you could buy a Jeep, you could buy.
Speaker 3 (28:12):
A Hyundai, you can buy any other car that's out there.
Speaker 2 (28:16):
Sure, there are alternatives, but imagine if China buys General
Motors and all of a sudden they're able to lower
the price. So suppose you're Silverado, which was clocked a
minute fifty grand, is now all of a sudden fifteen thousand.
The quality has actually gone up, but you can't buy it. Instead,
you have to pay fifty thousand for that f one
to fifty. Imagine if you run a business where you
(28:38):
have to have a fleet of vehicles and you were
paying fifty thousand dollars a pop for the Chevy and
now you could pay fifteen thousand dollars at thirty five
thousand dollars that you could create that you could use
to return your investment to investors, or expand your operations
to create jobs. Right, every time we're told that that
(29:00):
companies need to pay less so that they can create jobs.
They don't, but that's what we're told. So maybe if
they could save money on that fleet of vehicles, they
could create jobs. Imagine every time that year out and
you see the DWP in a Chevrolet, Imagine if that
cost you thirty five thousand dollars less in taxes. Oh,
(29:25):
now you're talking about savings. Yes, but we're gonna ban it.
There'd be outrage. There'd be a demand for Ford to
drop their prices to fifteen thousand dollars, which of course
they can't do.
Speaker 3 (29:35):
There'd be a.
Speaker 2 (29:36):
Demand for Dodge Rams to drop their prices to fifteen
thousand dollars, which they can't do. And then you would
start seeing Canada, Mexico, who you've just imposed tariffs on.
They would say, you know what, we're gonna buy those
those Chevy Silverados, those GM vehicles. We're gonna get them
from the new Chinese manufacturers because we can get them
so much cheaper, and we're gonna stop buying the American products.
(29:59):
What happens to what happens to Tesla, what happens to
the American companies all of a sudden, we're trying to
we're seeing a major decrease in sales, and we're competing
against the Chinese.
Speaker 3 (30:13):
So we've decided to ban here.
Speaker 2 (30:14):
So I guess our market would only be in the
United States because everybody else is gonna start buying the
new Chinese owned chevrolets in our example, Again, if you're
just joining us, they did not. I'm only drawing the
comparisons between Deep Seek Chinese company and why banning them
is not quite as easy as it is TikTok. If
(30:36):
everybody starts adopting deep seek and we can have companies
that can do things for a whole lot less, where
does that leave the American companies? And you can't just
simply ban it in order to help the American companies out,
because other countries will take advantage of it because it's
cheaper and it's faster, and they're not as concerned with
(30:57):
the Chinese Communist Party. Dog whistle, all right, we'll check
our news with Briginia Degastino here in a moment.
Speaker 3 (31:04):
Then there's no business like show business, straight ahead.
Speaker 2 (31:08):
Chris Merrill. KFI AM six forty were live everywhere in
the iHeartRadio
Speaker 1 (31:11):
App, KFI AM six forty on demand
You're listening to KFI AM sixty on demand, What Happen.
Speaker 2 (00:04):
Here and Chris Meryl Pleasure to be with You. Grammys
are underway and big collection of artists on the stage singing.
Speaker 3 (00:13):
We Love La.
Speaker 2 (00:15):
So that's fun. We'll give you an update on the Grammys.
We'll talk show business coming up here at about an hour,
also five thirty this evening. What the heck is the
Deep Seek? I remember when deep Seek was a big
story decades ago. It seems like now, nope, Monday, but
deep Seek? What in the heck is it? And is
(00:36):
it going to unseat everything that's going on in America?
Speaker 3 (00:40):
We'll discuss it. Been a busy week.
Speaker 2 (00:42):
More more executive orders this week, a lot more executive orders.
You thought we we got the first wave of executive
orders might be it, but now then we got another wave.
Remember the first wave was things like California asked your
tearing down in the water and so you know we're
doing that and uh, and then we got the we
got the executive order this week that said de I
(01:03):
was to blame for the the collision outside of Reagan
International Airport. So Andrew, you've done some research on that.
Do we know anything about the pilots and the the
the black Hawk helicopter. It's saying that wrong all week.
Black Hawk, yeah.
Speaker 3 (01:19):
Helicopter, black Hawk, right is what it is? Black Hawk?
Yeah yeah, black Hack helicopter.
Speaker 2 (01:24):
Yeah yeah, I mean they released the wait was that
do they have different sizors at one? They don't have
like a little black Hawk helicopter and a big black
Hawk helicopter.
Speaker 3 (01:32):
They just have a black Hawk helicopter.
Speaker 4 (01:34):
Right, Yeah, It's just it's just one one size, one
size fits all.
Speaker 2 (01:37):
Okay, So we released the names and there were no
funny sounding names on there.
Speaker 3 (01:44):
Well, I mean everybody. I mean, Chris Merrill sounds like
a funny name.
Speaker 2 (01:48):
Probably trans Yeah. Yeah, no, I love that we had there.
The investigation is out its infancy. The executive order blaming
DEI came out before we found the black boxes, which
are orange.
Speaker 3 (02:00):
This is weird.
Speaker 2 (02:01):
Uh, that executive order said DEI was to blame. I
didn't know you could just executive order blame things. I
didn't know that was a possibility. I got to get
with the president see if he can help me out
a little bit.
Speaker 3 (02:14):
Yeah.
Speaker 4 (02:14):
So the pilot was Captain Rebecca Lobach or Lobick, okay, yeah,
born Brian, But okay, go ahead. Chief Warrant Officer Andrew Eves.
Speaker 3 (02:25):
Oh, Andrew's definitely a DEI named.
Speaker 4 (02:28):
Well and staff Sergeant Ryan O'Hara, oh, oh O'Hara.
Speaker 2 (02:35):
So okay, I think we're getting the picture here. There's
no picture here, there's none. It's just regular old Americans
flying a helicopter and something bad happened. But by god,
what do they what do they say? Don't let a
good crisis go to waste? So we got to turn
that political? Then writing executive order blaming things you didn't
(02:57):
go with the president. See if the president can help
you out on your maritals. What do you think about this? Well,
the latest fight between Chris and Missus Merrill is definitely
because her mother in law is nosy. There's no other reason.
He is not to blame. It is the mother in law.
Executive order signed done, so let it be written, So
let it be done.
Speaker 4 (03:15):
So I was working the night that this was breaking news,
and it had started as a small plane crashing into
the river and stuff, and then how's the night progress?
It was evident that that wasn't the case. I think
the most shocking thing that came out that night as
I was reporting on this here at KFI, was the
President immediately coming out, you know, with the inkling that
(03:37):
you know this was probably the military's fault. That I
found very fascinating for him to just come flat out
with that the night of.
Speaker 3 (03:45):
Yeah, it does sound like that's probably the case.
Speaker 2 (03:47):
But he's not one to take information and process it
and hold any cards up his sleeve.
Speaker 3 (03:51):
Is he? No, what you see is what you're getting
with him?
Speaker 2 (03:56):
Yeah, I don't Yeah, I don't think there's a whole
lot of Uh, what do they like to say on
eight Chan?
Speaker 3 (04:03):
Raoul?
Speaker 2 (04:03):
Is it they like to play the four D chess?
Is that what he's doing? I don't know. I've never
been on eight Chan. I don't know.
Speaker 3 (04:10):
Neither have I. Buddies.
Speaker 2 (04:11):
Oh sure, you and your CD underbelly friends.
Speaker 3 (04:16):
I love that.
Speaker 2 (04:17):
I've taken a look at the upcoming Super Bowl and
I officially declaring that the Chiefs are only in the
super Bowl because of officiating that's been very, very unfair
to all the other teams. It's an executive order, so
let it be written.
Speaker 3 (04:31):
So let it be done.
Speaker 2 (04:33):
When you think about that Rowl executive order declaring the
Chiefs cheaters.
Speaker 3 (04:40):
Nailed it.
Speaker 2 (04:42):
We got the other executive order this week that imposes
tariffs on Canada, Mexico, and Jina. So the Trump tariffs
are set to take effect this week. What is going
to happen with that?
Speaker 5 (04:56):
Just as quickly as President Trump announced increased tariffs on
reports from Mexico, Canada and China.
Speaker 2 (05:02):
They've treated us very unfairly, very unfairly, just like the
referees did to Buffalo.
Speaker 5 (05:08):
Tonight, there's swift retaliation from both our North American neighbors.
Speaker 6 (05:11):
Canada will be responding to the US trade action with
twenty five percent tariffs against one hundred and fifty five
billion dollars worth of American goods.
Speaker 3 (05:22):
Crap means my syrup is going to go up.
Speaker 5 (05:26):
The emerging trade war comes after the President signed executive
orders hitting Canada and Mexico with twenty five percent teriffs
and China with ten percent tariffs, blaming them for illegal
immigration and drug trafficking.
Speaker 2 (05:37):
The wait Canada is blame for drug trafficking and illegal immigration.
I saw some numbers on that and it shows one
percent of our drugs and undocumented immigrant crossings come from
the northern border. I don't know how you cracked down
(05:59):
on the northern border. Either it's big, it's big, lee,
it's very bigly.
Speaker 5 (06:05):
President well aware the cost could fall on average Americans.
Speaker 2 (06:08):
And there could be some temporary, short term disruption and
people will understand that.
Speaker 3 (06:13):
Experts.
Speaker 2 (06:14):
No, here's one thing we know about Americans. We do
not understand it. We were going through a global pandemic
and the price of toilet paper skyrocketed, and you know what,
we did not understand that.
Speaker 3 (06:25):
It was our fault. We did not.
Speaker 2 (06:28):
So the idea that we're going to understand it negative.
Speaker 5 (06:31):
The American families could pay upwards of eight hundred dollars
more this year after companies that are stuck paying the
increased tariffs then pass along the costs. There are tens
of billions of dollars worth of groceries that come from
our neighbors to the North and South.
Speaker 2 (06:43):
Groceries. There's a word. It's the word I've been using.
A lot of other people don't use it, but I
do groceries, groceries. A lot of people don't know that word.
Not exaggerating, he did say that in an interview.
Speaker 5 (06:55):
Canada is our biggest importer of grains, livestock and meat.
Sugar and pulp tree. Mexico provides the US more fruits
and vegetables than any other country. Brandon Parsons, an economics
professor at Pepperdine University, says, with certain products like avocados,
where ninety percent come from Mexico, Americans will just see
higher prices.
Speaker 7 (07:13):
But in the case of all in the case of avocado,
where there isn't necessarily you know, a whole lot of
you know, other countries, to my understanding, none that are
selling them, it's likely that that cost is just going
to be you know, added to the consumer.
Speaker 2 (07:30):
Yeah, it is, of course it is from Mexico. I'm
not crazy about that, not even a little bit.
Speaker 5 (07:37):
Skis the same could happen for alcohol, clothes, electronics, and cars.
Speaker 2 (07:41):
Shut the front door like booze is gonna go up.
Speaker 5 (07:44):
The tariffs on oil and gas could also hide prices
of the pump by as much as seventy cents a gallon.
Speaker 2 (07:49):
Yeah, except he said that, uh, you know what, the
people will understand, but they will not understand if the
gas prices go up.
Speaker 3 (07:56):
So we're going to exempt that one tonight.
Speaker 5 (07:58):
Canada, matching Trump's town I refs and percentage and scale
will urge in Canadians to avoid American staples like.
Speaker 6 (08:05):
Like the American tariffs, our response will also be far
reaching and include everyday items such as American beer, wine, and.
Speaker 2 (08:15):
Bourbon, okay, and more. I'll tell you what that is
in just a second here. But the people will understand.
It might be a little bit short term pain, but
they'll get it in the long run. No, Canadians won't
understand that either. They might even become impolite. Gosh, dang it,
excuse my French. Tell you what else you're gonna pay
(08:37):
more on and what the Canadians are gonna pay more for?
Speaker 3 (08:39):
That's next. Chris Merril KFI AM six forty relab everywhere
on the iHeart Radio app.
Speaker 1 (08:43):
You're listening to KFI AM six forty on demand.
Speaker 2 (08:48):
Chris Mariland kfi A six forty on demand anytime the
iHeart Radio app. Raoul is monitoring the Grammys forman, Did
did you tell me that Trevor Nolla, who's hosting it,
he stole my joke.
Speaker 3 (08:59):
Yeah, he dropped the maple syrup fifty bucks.
Speaker 2 (09:02):
All right, So I'm gonna take you behind the scenes
a little bit. Uh you are talking to and please
don't tell your friends. I just don't have time to
be answering all of their questions. I'll answer your questions,
but that's it. You were talking to an amateur maple
syrup farmer. Yep, lead a brag yep. In fact, I
(09:26):
have two weeks in March that I have blocked off.
I will be headed back to the homestead in Michigan
to make some syrup.
Speaker 4 (09:34):
So what do you call it? Merrill's Maples? That's nice, Andrew,
I'm a wordsmith.
Speaker 3 (09:41):
Yeah, I'm on the radio.
Speaker 2 (09:43):
You should be hosting this bat No, I'm sorry, what
are you gonna call it?
Speaker 8 (09:46):
Chris?
Speaker 3 (09:47):
I mean, I hadn't thought of that yet.
Speaker 2 (09:49):
So yeah, Now, now that Andrew says that I may
hire him as my marketing director, there we go. Yeah,
you're welcome. Uh here's the thing. If you get I
own maple syrup, it's already sixty four gallon sixty four
dollars a gallon, which, if you make your own maple syrup,
is a steal because I spend about three hundred dollars
(10:10):
every year and I get about one and a half gallons.
It's just a hobby. I love it. But you know,
you don't expect hobbies to pay it back, but I
end up going through a lot because I have to do.
I got to cook it down. Power ain't cheap. So hey,
you a fun little fact. Uh No is talking, of course,
about the trade war between Canada and the United States
as we were just discussing.
Speaker 3 (10:30):
Here's what Justin Trudeau said, the PM of Canada.
Speaker 6 (10:34):
I am announcing Canada will be responding to the US
trade action with twenty five percent tariffs against one hundred
and fifty five billion dollars worth of American goods.
Speaker 3 (10:46):
That's what I'm talking about.
Speaker 6 (10:48):
This will include immediate tariffs on thirty billion dollars worth
of goods as of Tuesday, followed by further tariffs on
one hundred and twenty five billion dollars worth of America
and products in twenty one day's time to allow Canadian
companies and supply chains to seek to find alternatives.
Speaker 2 (11:08):
Your hosers, So what are we going to be paying
more for?
Speaker 3 (11:13):
Yeah?
Speaker 2 (11:13):
Obviously maple syrup, yes, but higher tariffs in Canada. Canada
is going to get hit with the increased costs on
things like beer, wine and bourbon, and fruit and fruit juices.
In fact, those are the things that Trudeau is targeting specifically.
So stuff coming from Canada is going to cost us more.
(11:37):
Stuff coming from the United States to Canada is going
to cost Canadians more after their tariffs, their retaliatory tariffs
go into effect. Now what's interesting is that President Trump
is trying to punish Canada for I'm just not joining
the Union. But Trudeau is punishing Trump voters. He's specifically
(11:57):
targeting items that come from dominantly Republican voting states, which
is why he's saying to all the Canadians, aosier, stopped
drinking your oj from Florida, so specifically saying, don't take
the fruits. Those are coming from Republican states, not US obviously,
but other states that grow fruits. The alcoholic beverage is
(12:19):
beer wine and Kentucky bourbons. Trump states he is targeting
Trump states specifically household appliances as well, including Whirlpool based
in Michigan, which is a swing state. Also Delicious maple syrup,
but it swung back to Trump this year, so they
(12:41):
get punished too. So well, Trump is saying Canada is
going to pay a price. Canada is saying Trump voters
are going to pay a price. So this trade war
is getting very personal all of a sudden. Now they're
as much as you're hearing twenty five percent on Canadian products,
twenty five percent on products out of Mexico. But we're
sparing the energy sector. It's not gonna spare other sectors.
(13:03):
Like when you're getting ready for your Super Bowl party
and you want to make the walk on.
Speaker 3 (13:06):
Morley, avocados from Mexico, that's gonna go up.
Speaker 2 (13:10):
It's not gonna go up twenty five percent though, because
what happens is the tariffs are paid by the importers.
The importers are gonna pass the cost onto you, but
the importers take whatever comes in from say Jina, or
comes in from Canada, comes in from Mexico, and then
they double the price roughly. I'm just speaking in generality here.
So let's say you have an avocado from Mexico that's
(13:31):
coming in, and I'm just gonna use easy numbers.
Speaker 3 (13:33):
Let's say that it's a dollar.
Speaker 2 (13:36):
The importer says, uh, okay, I'm gonna I'm gonna then
resell that at wholesale price is for two dollars.
Speaker 3 (13:42):
That's how I'm making my money on it. And then
the the store.
Speaker 2 (13:47):
You go to Ralph's and that avocado is four dollars
because they're gonna double it as well. The import tax.
Import tariff does not go on the four dollars. It
goes on the one dollar that the importer is paying.
So that would then be your one dollar avocado becomes
a buck and a quarter. The importer is going to
double that up to two fitty and Ralph's is gonna
(14:09):
up that. There's from four dollars up to five dollars
again doubling along the way, which means that it's a
twenty five percent tariff, but your price is only I
guess it's still going up twenty five percent. Now, you're screwed.
So I was doing the math on that wrong. You're
you're you're totally screwed. Yeah, enjoy your sour cream dips
because you're not having guacam only this year, totally hose Man.
(14:34):
But the price of the pump should go up because
he did spare energy, although Trudeau says he's going to
limit the exports now on energy to the United States
again to punish us. Your stock portfolio, your retirement probably
dropped this week, and it's all because of Jine. Why
(14:54):
don't we just ban deep Seek? We ban everything else,
just bann deep Seek? Why are we doing that? It's
next Chris Merril KFI AM six forty. We're live everywhere
on the iHeartRadio app.
Speaker 1 (15:04):
You're listening to KFI AM six forty on demand, thirty minutes.
Speaker 2 (15:09):
Away from an update on the Grammys. We'll talk about
show business. That is ahead Chris Merril kfi AM six
forty and on demand any time the iHeart Radio app.
So deep Seat comes out this week, and if you're
like me, you'd never heard of it. If you're in
the note, maybe you did. Because deep Seek has had
a few incarnations. They in the same way that we
(15:30):
have Chat GPI or Chat GPT. Excuse me, Chat GPT,
Chat GPT two point zero and I think we're at
four point zero.
Speaker 3 (15:37):
Now.
Speaker 2 (15:38):
All these different ais have iterations, and they get better
with each iteration. A lot of that has to do
with the new processing speed comes out. So n Video
will release a new chip that is more efficient, that
probably uses more power but can compute things faster. So
now we can upgrade stuff. The learning models change, and
(15:59):
so all of us Chat GPT original versus four totally
different things, and the same way Deep Seek has had
earlier versions, This latest version Deep SEEKAR.
Speaker 3 (16:11):
One is the mac Daddy. What he got here.
Speaker 2 (16:18):
Is a team of young engineers in China and their
boss decided, I'm going to grab people that don't know
what they're doing because I don't want people to try
to recreate what's already there. So he said, give me
the brightest engineers who don't know how AI works, and
(16:39):
let's train them up so that they can think outside
the box.
Speaker 3 (16:44):
Not bad, but it takes some time to get there,
all right.
Speaker 2 (16:47):
So he grabbed a lot of really smart engineers and said,
start from scratch, all right. So not only that, but
he smart guy. He does these programming shortcuts, and he
finds a loophole in some American roles that allows him
to get some advanced chips. Not the same Nvidio chips
that we have now, but he definitely started with some
(17:09):
Nvidio chips that were a few generations older. So Deep
Seat comes along and over the weekend last weekend, and
I don't even know this is happening. We're doing the
show last weekend. Monday, I wake up and all hell
breaks loose. So last weekend this thing is released, and
I guess it had been out for a while, but
(17:29):
all of a sudden it starts to take hold, becomes
the number one downloaded app at the Apple Store, and
suddenly we see a trillion dollars in market value drop
off of the stock market on Monday because we have
sunk so much money into not only AI technologies, not
only into Nvidia, which was the most valued American company.
(17:53):
In fact, I think it was the most valued in
the world. It surpassed Apple for a while. We said,
you know, we're all in on this. Then it comes
out and they're able to do it for far, far less.
How much less. The Chinese claim that they spend about
six million dollars on this AI model. In comparison, we've
spent a trillion on our AIS six million to a trillion.
Speaker 3 (18:18):
Those numbers are tough.
Speaker 2 (18:19):
Let me see if I can make this a little
bit easier, because sooner, lady, you get to enough zeros
and you go, I can't comprehend that.
Speaker 3 (18:26):
So let's think of it this way, Kayla, and I
are you?
Speaker 2 (18:30):
Kayla?
Speaker 3 (18:31):
You want to grab lunch? She says, sure.
Speaker 2 (18:35):
Uh, So we go to Subway and I order a
foot long cold cut combo. Six bucks. Kayla orders a
foot long cold cut combo. It is one million dollars.
Speaker 4 (18:50):
A million dollars true, I mean, well not to have
a million dollars just been on a sandwich.
Speaker 2 (18:56):
But when we talk about six million versus a trillion,
that seems like, wow, that's that's a lot of difference.
When you relate it to six million to one trillion,
is the same as six dollars to a million dollars.
Now we're getting into a range that we can grasp
a little bit easier. Or six pennies to one hundred
thousand dollars, Well, that's not right. Ten thousand dollars, six pennies,
(19:23):
ten thousand dollars. Now all of a sudden, we go, WHOA, Okay,
six pennies I can find in my couch cushions. Ten
thousand dollars is gonna take. It's gonna take me a
few years to save up right, Just why nobody can
afford a house? Uh So that's the difference here what
makes them special? ABC seven was.
Speaker 3 (19:44):
Talking about this very story as it broke earlier this week.
Speaker 8 (19:46):
Shares of Nvidia, which makes the chips use to power
AI plunging nearly six hundred billion dollars, the largest single
day loss for stock. Ever, that's more than the entire
value of Netflix.
Speaker 2 (19:59):
Whoa wow, Okay, Nvidia lost an entire Netflix in one day.
Speaker 8 (20:07):
The selloff followed the debut of Chinese AI chatbot are
one from deep zek, which is said to be more
powerful and efficient than US competitors like Open AI and Google.
Chatbots are computer programs that can simulate human conversation and
perform complex tasks. Deep zinc saying it's chatbot was developed
for less than six million dollars, a fraction of the
(20:29):
cost of its competitors, using less energy and inferior processing chips.
Speaker 2 (20:35):
Yeah, you know, speaking of the energy, that's another stock
that is shot up too. A bunch of the energy
stocks have gone way up in price because we know
that AI is is the biggest tech advancement since the
invention of the Internet. And as a AI it sucks
down power like a starving man rescued from the desert
(20:56):
and given a milkshake. And so which don't do that
if you're starving it in the desert and you're drink
a milkshake, This is gonna give me the runs. But
they are it sucks down the energy so much that
we went there's gonna be a lot of investment in
more energy infrastructure.
Speaker 3 (21:14):
Those docks got hurt earlier this week too.
Speaker 9 (21:15):
Previously, we're thinking with open aie with Google, the more
chips you have and the longer you train the i
AI models, the tender performance they will get. However, with Tipsy,
they're telling us actually don't need damn many chips.
Speaker 8 (21:27):
The President last night saying the US will dominate and
if there's a cheaper way to achieve the same result,
that's a good thing.
Speaker 3 (21:35):
Oh, it is.
Speaker 2 (21:36):
The release of deep Seek AI from a Chinese company
should be a wake up call for our industries. Open Okay,
So if it's if we can do it cheaper, that's
a good thing. Well, what if I could get my
lumber from Canada cheaper? Would that be a good thing?
Because we have to rebuild southern California, so construction costs
(21:58):
are going out because we're gonna.
Speaker 3 (21:59):
Play a trade war with Canada.
Speaker 2 (22:01):
And yet we see what's going on with Jana and
Deep Seek and we go, this is a good thing.
Speaker 3 (22:07):
It's a wake up call. It's great Open Ai.
Speaker 8 (22:09):
Sam Altman, who is partnering with Trump on Stargate has
warned about artificial intelligence getting in the wrong hands.
Speaker 2 (22:15):
We do worry a lot about authoritarian governments developing this.
Speaker 3 (22:19):
Deep Seek's new app now shaking up the industry.
Speaker 9 (22:22):
Even though these Chinese companies they have the chip constraint,
they do not have the access to all this Nvidia
latest chips, they can still make pretty comparable work. So
I think that tells us to reimagine the cheap expert
control policies, to reimagine the usah China tech race. May
I need to take a different strategy.
Speaker 3 (22:40):
There, Yeah, like more tariffs.
Speaker 6 (22:43):
No.
Speaker 8 (22:43):
Deep Sink is also fully available to users for free,
unlike open AI's chatcipt, which charges you for added features.
As for your four to one K The good news
is stock futures were quieter overnight.
Speaker 2 (22:55):
Yeah, they were a little bit better on Tuesday. We
got some settling. Just the same kind of makes you wonder.
I mean, we just banned.
Speaker 3 (23:06):
TikTok, right, why don't we just ban deep Seek.
Speaker 2 (23:12):
Feels like that's a pretty quick way to shut it down.
Maybe not so fast, my friends, As Lee Corso would say,
why banning deep Seek maybe a little tougher than banning TikTok.
Speaker 3 (23:25):
It's next.
Speaker 2 (23:25):
Chris MERRILF I AM six forty. We're live everywhere on
the iHeartRadio apps.
Speaker 1 (23:28):
You're listening to KFI AM six forty on demand.
Speaker 2 (23:33):
I AM six forty more stimulating talk or give an
update on what's happening at the Grammys.
Speaker 3 (23:37):
Is me addressed?
Speaker 2 (23:38):
There's no business like tel business all right after Brigina
Dougastino six o'clock news that is ahead here, I'm Chris
Merril KF I AM six forty. We're talking about Deep Seek,
which is the Chinese AI company that came upon the
scene this week. For those of us that were not
paying attention, I guess has been out there before, but
(24:00):
all of a sudden, it just rolled the stock market
and it put people into a big old panic. And
then we had a plane crash and forgot all about it.
It's kind of like we had these fires, but then
Deep Seek and we forgot all about the fires nationwide.
I mean, not people here, obviously, but we are moving
through the news cycle very quickly, very quickly. Why don't
(24:24):
we just ban this Deep Seak if it's such a threat,
I mean it comes from China. The Chinese government has
the same access to the data as they do with TikTok,
So why not just ban it? In fact, in some
ways it might even be easier to ban because there
isn't widespread adoption with TikTok.
Speaker 3 (24:45):
What is it?
Speaker 2 (24:45):
One hundred and seventy million Americans have it on their phones,
and so when you ban it, not only does everyone
lose access to it, but you also have certainly hundreds
of thousands, if not a million people are more that
make their entire living on TikTok. So banning TikTok is
problematic for an awful lot of people. Deep Seek, However,
(25:07):
for Pete's sake, we already have, We already have alternatives
that have much wider adoption. And I know it was
the number one downloaded app at the App Store, but
I mean.
Speaker 3 (25:18):
That comes and goes.
Speaker 2 (25:20):
It's not like it's deeply ingrained in our economy like
some of the other social media's are, And why don't
we just ban it? In fact, the US Navy says, okay, listen, semen,
take that thing off your phone. We do not want
any deep Seek on any Navy phones, no deep Seek
(25:41):
on any Navy computers, no deep seek. The only deep
seeking we're doing is with our sonart the other deep
seeking get it off?
Speaker 3 (25:48):
So done, Maybe out.
Speaker 2 (25:52):
Texas Governor Greg Abbott issuing a ban on deep seek
as well for government issued devices. It's the first state
to restrict the popular chato in such a manner. Expect
that others will follow suit. The concern, of course, is
you can't say the Chinese government. You have to say
the Chinese Communist Party.
Speaker 3 (26:08):
That's uh.
Speaker 2 (26:09):
Listen, If you're not gonna use the dog whistle, don't
even blow a whistle at all.
Speaker 3 (26:14):
He said.
Speaker 2 (26:14):
Texas will not allow the Chinese Communist Party to infiltrate
our state's critical infrastructure through data harvesting AI and social
media apps. Texas will continue to protect and defend our
state from hostile foreign actors. In other words, scary words,
lots of scary words.
Speaker 3 (26:31):
Me safe, make you zug zug.
Speaker 2 (26:35):
But there is a concern, obviously that the data that
might be harvested from government systems could create a vulnerability.
All right, all right, that's fair.
Speaker 3 (26:47):
Why don't we just do that.
Speaker 2 (26:48):
All over the place. See, here's the thing. When it
comes to TikTok. You're talking about a social media app
banning that creates some pain for some Americans, but it
isn't critical infrastructure. AI is quickly becoming critical infrastructure to
every business sector there is. In fact, the Super Bowl
(27:11):
this year will be chalk full of AI commercials, whether
commercials that were using AI or commercials about using AI.
Speaker 3 (27:19):
It will be chock full. This is the first AI
super Bowl.
Speaker 2 (27:24):
And this is why simply banning deep seek isn't necessarily
as easy. Imagine if we decided that, uh, the Chinese
automobiles are really bad, so we're gonna ban Chinese automobiles.
That wouldn't be so hard. I mean, it's already tough
(27:46):
to get them over here. Now, imagine if China were
to buy General Motors.
Speaker 3 (27:52):
Oh, you're gonna do that.
Speaker 2 (27:55):
China buys General Motors, and we decide we're gonna ban
all General more vehicles because we're afraid of the Chinese
Communist Party. Well, I mean you could and you'd say, well, yeah,
but you could always buy a Ford, you could buy
you could buy a Jeep, you could buy.
Speaker 3 (28:12):
A Hyundai, you can buy any other car that's out there.
Speaker 2 (28:16):
Sure, there are alternatives, but imagine if China buys General
Motors and all of a sudden they're able to lower
the price. So suppose you're Silverado, which was clocked a
minute fifty grand, is now all of a sudden fifteen thousand.
The quality has actually gone up, but you can't buy it. Instead,
you have to pay fifty thousand for that f one
to fifty. Imagine if you run a business where you
(28:38):
have to have a fleet of vehicles and you were
paying fifty thousand dollars a pop for the Chevy and
now you could pay fifteen thousand dollars at thirty five
thousand dollars that you could create that you could use
to return your investment to investors, or expand your operations
to create jobs. Right, every time we're told that that
(29:00):
companies need to pay less so that they can create jobs.
They don't, but that's what we're told. So maybe if
they could save money on that fleet of vehicles, they
could create jobs. Imagine every time that year out and
you see the DWP in a Chevrolet, Imagine if that
cost you thirty five thousand dollars less in taxes. Oh,
(29:25):
now you're talking about savings. Yes, but we're gonna ban it.
There'd be outrage. There'd be a demand for Ford to
drop their prices to fifteen thousand dollars, which of course
they can't do.
Speaker 3 (29:35):
There'd be a.
Speaker 2 (29:36):
Demand for Dodge Rams to drop their prices to fifteen
thousand dollars, which they can't do. And then you would
start seeing Canada, Mexico, who you've just imposed tariffs on.
They would say, you know what, we're gonna buy those
those Chevy Silverados, those GM vehicles. We're gonna get them
from the new Chinese manufacturers because we can get them
so much cheaper, and we're gonna stop buying the American products.
(29:59):
What happens to what happens to Tesla, what happens to
the American companies all of a sudden, we're trying to
we're seeing a major decrease in sales, and we're competing
against the Chinese.
Speaker 3 (30:13):
So we've decided to ban here.
Speaker 2 (30:14):
So I guess our market would only be in the
United States because everybody else is gonna start buying the
new Chinese owned chevrolets in our example, Again, if you're
just joining us, they did not. I'm only drawing the
comparisons between Deep Seek Chinese company and why banning them
is not quite as easy as it is TikTok. If
(30:36):
everybody starts adopting deep seek and we can have companies
that can do things for a whole lot less, where
does that leave the American companies? And you can't just
simply ban it in order to help the American companies out,
because other countries will take advantage of it because it's
cheaper and it's faster, and they're not as concerned with
(30:57):
the Chinese Communist Party. Dog whistle, all right, we'll check
our news with Briginia Degastino here in a moment.
Speaker 3 (31:04):
Then there's no business like show business, straight ahead.
Speaker 2 (31:08):
Chris Merrill. KFI AM six forty were live everywhere in
the iHeartRadio
Speaker 1 (31:11):
App, KFI AM six forty on demand
Popular Podcasts
Stuff You Should Know
If you've ever wanted to know about champagne, satanism, the Stonewall Uprising, chaos theory, LSD, El Nino, true crime and Rosa Parks, then look no further. Josh and Chuck have you covered.
Dateline NBC
Current and classic episodes, featuring compelling true-crime mysteries, powerful documentaries and in-depth investigations. Follow now to get the latest episodes of Dateline NBC completely free, or subscribe to Dateline Premium for ad-free listening and exclusive bonus content: DatelinePremium.com
Las Culturistas with Matt Rogers and Bowen Yang
Ding dong! Join your culture consultants, Matt Rogers and Bowen Yang, on an unforgettable journey into the beating heart of CULTURE. Alongside sizzling special guests, they GET INTO the hottest pop-culture moments of the day and the formative cultural experiences that turned them into Culturistas. Produced by the Big Money Players Network and iHeartRadio.