DeepSeek V4 is China's latest large language model, and it is priced in a category of its own. Where Claude Opus 4.7 costs around $75 per million tokens, DeepSeek V4 comes in at approximately $4 - roughly 1/20 of the price.
The math behind Uber's decision to cut its AI deal with Anthropic earlier this year becomes even clearer when you dig into the numbers. With Uber's 2026 budget of 5.9 billion Norwegian kroner, they would have had operational capacity for seven years instead of four months had they used DeepSeek V4 from the start.
For Norwegian SMBs, this means advanced AI has become accessible to far more organizations. A typical Norwegian SMB budget of 50,000-200,000 Norwegian kroner per year can now cover use cases that previously required enterprise agreements.
What is DeepSeek V4?
DeepSeek V4 is the fourth generation of large language models from Chinese company DeepSeek. The model launched in April 2026 and has quickly become referenced as one of the most cost-effective models in its performance class.
The model is open for use through both DeepSeek's own API and a number of third-party platforms. This contrasts with several leading American alternatives that remain fully or partially closed.
Performance vs. Cost
The most significant development is not necessarily technical - it is economic. When a model that performs on par with the best in the market costs 5 percent of the alternative, it is no longer a technology question, it is a business question.
DeepSeek V4 scores competitively on standard benchmarks against models like Claude Opus 4.7 and GPT-4o. At the same time, API costs sit at around $4 per million input tokens and $16 per million output tokens - well below competitors.
What This Means for Norwegian Businesses
For Norwegian SMBs with 7-100 employees, new opportunities are opening up:
- Customer service: Automation that previously required enterprise budgets
- Document analysis: Review of contracts, reports, and financial statements
- Content production: Text generation for marketing and communications
- Code development: Assistance for development teams without large license costs
Open Source vs. Closed
An important nuance: open source does not always mean everything is free or without restrictions. DeepSeek V4 has its own licensing terms, and it is important to understand these for commercial use.
At the same time, openness provides greater transparency about how the model works, which can be valuable for companies with specific privacy or security requirements.
Frequently Asked Questions
What is DeepSeek V4?
DeepSeek V4 is the fourth generation of large language models from Chinese company DeepSeek, launched in April 2026. The model performs on par with Claude Opus 4.7 and GPT-4o on standard benchmarks, but at a fraction of the price - approximately $4 per million tokens compared to $75 for market leaders.
How much cheaper is DeepSeek V4 than its competitors?
DeepSeek V4 costs roughly 1/20 the price of Claude Opus 4.7. API pricing sits at around $4 per million input tokens and $16 per million output tokens, versus approximately $15 and $75 for the most expensive alternatives. For a Norwegian SMB with an annual AI budget of 100,000 Norwegian kroner, this means five times more compute for the same money.
What does DeepSeek V4 mean for Norwegian SMBs?
For Norwegian SMBs with 7-100 employees, DeepSeek V4 makes advanced AI accessible even for smaller budgets. Customer service automation, document analysis, content production and code development that previously required enterprise agreements are now within reach for typical business budgets of 50,000-200,000 Norwegian kroner per year.
Is DeepSeek V4 fully open source?
DeepSeek V4 is available through DeepSeek's own API and several third-party platforms, but the model is not completely free or without restrictions. It has its own licensing terms for commercial use that users should review carefully. The openness does provide greater transparency about how the model works, which can be valuable for companies with specific privacy or security requirements.
How does DeepSeek V4 affect competition in the AI market?
DeepSeek V4 has significantly intensified competition. When a model performs on par with market leaders at 5 percent of the price, the cost picture becomes a business question rather than a technical one. It remains to be seen how major players like OpenAI and Anthropic respond on pricing, but for Norwegian businesses, the competition development is positive.
Summary
DeepSeek V4 represents a turning point for AI costs in the business market. For Norwegian SMBs, this means advanced AI technology is now within reach - even for smaller budgets. It remains to be seen how the major players respond on price, but for now, competition in the AI market has intensified significantly.
