Liang Wenfeng says China has no cost advantage in data annotation
teortaxesTex · x · 2026-07-23
Liang Wenfeng says China has no data-annotation cost advantage over the US
In a quoted interview screenshot, DeepSeek founder Liang Wenfeng argues that:
- China does not have a cost advantage in data annotation, especially for high-end annotation work.
- DeepSeek is effectively devoting a large share of effort to annotation, because solving the next stage of AI still depends heavily on data work.
- On product experience and product capability, he believes Chinese companies may not be worse than US companies.
- He also suggests China may retain a structural advantage in cost and product execution, even if it lacks other obvious advantages.
The post frames this as a blunt reality check on the economics of competing with US AI labs: the bottleneck is not just model capability, but the expensive, labor-intensive data pipeline behind it.
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