DeepSeek V4 Flash launch overloads servers, users redirected to competitors

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DeepSeek V4 Flash launched on August 4, causing server overloads and 503 errors. Users were redirected to competitors such as Alibaba Cloud and ByteDance. DeepSeek’s cache hit price is 0.02 RMB per million tokens, significantly lower than the 0.2 RMB charged by rivals. In high-volume scenarios, this pricing can substantially reduce costs. Altcoins to watch may benefit from such cost shifts. Fear and Greed Index data shows rising trader optimism amid competition among AI models.

ChainThink reports that on August 4, following the official release of DeepSeek V4 Flash, traffic surged rapidly, causing the official API to temporarily return a 503 error, indicating the service was too busy and advising users to temporarily switch to another large model API provider.

In terms of pricing, DeepSeek’s official cache hit rate is 0.02 yuan per million tokens; Alibaba Cloud Bailing, Tencent Cloud, and ByteDance’s Volcano Ark all charge 0.2 yuan, approximately ten times higher.

Since the Agent scenario repeatedly reads code and context, cached tokens typically account for a high proportion of usage; switching to a platform with higher cached token pricing may significantly increase actual usage costs.

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