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SEALSQ Decentralizes AI Development with Cost-Effective Post-Quantum Semiconductors, Paving the Way for a Decentralized and Sustainable AI Future

1. SEALSQ introduces cost-effective post-quantum semiconductors for AI development. 2. DeepSeek demonstrates efficient AI performance at lower costs, challenging established giants. 3. Decentralized AI could democratize technology, enhancing global collaboration and sustainability. 4. SEALSQ's R&D leads to competitive semiconductor technology at lower capital investment. 5. Emerging trends challenge US export controls over technology advancements in China.

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Why Bullish?

SEALSQ's advancements make it competitive, potentially increasing market interest and stock price, similar to Nvidia's rise after launching AI chips.

How important is it?

New technology and market dynamics presented in the article could significantly influence SEALSQ's competitive positioning.

Why Long Term?

Investment in innovative technology typically yields long-term growth, like advancements seen with Tesla's battery technology.

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January 28, 2025 10:45 ET  | Source: SEALSQ Geneva, Switzerland, Jan. 28, 2025 (GLOBE NEWSWIRE) -- SEALSQ Decentralizes AI Development with Cost-Effective Post-Quantum Semiconductors, Paving the Way for a Decentralized and Sustainable AI Future SEALSQ Corp (NASDAQ: LAES) ("SEALSQ" or "Company"), a company specializing in Semiconductors, PKI, and Post-Quantum technology hardware and software products, today announced that it decentralizes AI development with cost-effective post-quantum semiconductors, paving the way for a decentralized and sustainable AI future. To realize the potential of decentralized AI, robust hardware capable of supporting secure, efficient, and scalable systems is essential. SEALSQ's post-quantum semiconductors are at the forefront of this technological evolution. SEALSQ has developed post-quantum semiconductors with an R&D investment of approximately $10 million, achieving results comparable to those of tech giants that have invested a lot more on R&D development. The emergence of China's DeepSeek, a highly efficient and cost-effective large language model (LLM), presents a pivotal moment to reassess how AI is developed, deployed, and sustained. DeepSeek's open-source model has achieved near-parity with GPT-4-level performance at a fraction of the computing power and training costs, challenging the status quo of resource-intensive AI. This shift calls for a decentralized approach to AI development and underscores the need for robust, efficient, and secure technologies like post-quantum semiconductors. Current AI models, predominantly developed by Western tech giants, demand vast computational resources and energy. The training of models like GPT-4 consumes enormous power, exacerbating environmental concerns and raising questions about sustainability. The high R&D costs associated with cutting-edge AI development make it inaccessible to smaller players. In contrast, DeepSeek trained its LLM with 671 billion parameters for just $5.6 million, challenging the economic viability of current AI practices. The success of DeepSeek also underscores how China has managed to bypass restrictions on semiconductor exports, achieving groundbreaking advancements despite limited access to Western technology. This questions the effectiveness of export controls and highlights the need for diversified, decentralized AI approaches. Decentralized AI powered by open-source frameworks like DeepSeek can break the monopoly of centralized tech giants, enabling global participation and innovation in AI development. Localized AI processing can significantly reduce the carbon footprint associated with centralized data centers. Open-source advancements in model efficiency, as seen with DeepSeek, further amplify these benefits. Decentralized AI systems enhance transparency and trust. Open-source models allow communities to audit, modify, and improve systems collaboratively, reducing vulnerabilities and promoting equitable access. To realize the potential of decentralized AI, robust hardware capable of supporting secure, efficient, and scalable systems is essential. SEALSQ's post-quantum semiconductors are at the forefront of this technological evolution. SEALSQ has developed post-quantum semiconductors with an R&D investment of just $10 million, achieving results comparable to those of tech giants that have invested a lot more on R&D development . This demonstrates that innovation is not merely a function of capital but of strategic focus and expertise. SEALSQ’s chips ensure decentralized AI infrastructures are secure against future adversarial quantum attacks. Optimized for integration into IoT and edge devices, they support energy-efficient, high-performance AI operations, aligning with the demands of lightweight, distributed systems. Their cost-efficient and secure hardware levels the playing field, empowering smaller companies and organizations to compete with established tech giants in AI innovation. DeepSeek’s model efficiency and SEALSQ’s cost-effective hardware challenge the narrative that high-performance AI requires exorbitant resources. This could slow the growth in computing power demand while democratizing access to advanced AI technologies. DeepSeek’s success highlights the resilience and adaptability of China’s AI industry, raising questions about whether US export restrictions have failed to curb China’s advancements. The combination of efficient models like DeepSeek and SEALSQ’s semiconductors sets the stage for a decentralized AI ecosystem that is accessible, sustainable, and secure. To ensure the future of AI is both equitable and sustainable, governments and private sectors must support innovation in post-quantum semiconductors like those from SEALSQ to power decentralized AI securely and efficiently. Encouraging open-source AI frameworks will democratize innovation, foster global collaboration, and reduce dependence on monopolistic AI development. The industry must prioritize energy-efficient models and hardware to minimize environmental impact while maintaining high performance. Cross-border cooperation in AI development, particularly in decentralized and open-source frameworks, can bridge gaps and ensure inclusive progress. The emergence of DeepSeek and the innovative efficiency of SEALSQ’s post-quantum semiconductors represent a pivotal opportunity to redefine AI development. By decentralizing power, reducing resource intensity, and leveraging secure, cost-effective technologies, the global AI ecosystem can become more sustainable, inclusive, and resilient against future challenges. This paradigm shift will not only benefit technological progress but also uphold ethical and environmental values in the AI era. About SEALSQ:SEALSQ focuses on selling integrated solutions based on Semiconductors, PKI and Provisioning services, while developing Post-Quantum technology hardware and software products. Our solutions can be used in a variety of applications, from Multi-Factor Authentication tokens, Smart Energy, Smart Home Appliances, Medical and Healthcare and IT Network Infrastructure, to Automotive, Industrial Automation and Control Systems. Post-Quantum Cryptography (PQC) refers to cryptographic methods that are secure against an attack by a quantum computer. As quantum computers become more powerful, they may be able to break many of the cryptographic methods that are currently used to protect sensitive information, such as RSA and Elliptic Curve Cryptography (ECC). PQC aims to develop new cryptographic methods that are secure against quantum attacks. For more information, please visit www.sealsq.com. Forward-Looking StatementsThis communication expressly or implicitly contains certain forward-looking statements concerning SEALSQ Corp and its businesses. Forward-looking statements include statements regarding our business strategy, financial performance, results of operations, market data, events or developments that we expect or anticipates will occur in the future, as well as any other statements which are not historical facts. Although we believe that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve known and unknown risks and are based upon a number of assumptions and estimates which are inherently subject to significant uncertainties and contingencies, many of which are beyond our control. Actual results may differ materially from those expressed or implied by such forward-looking statements. Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the expected success of our technology strategy and solutions for IoMT Security for Medical and Healthcare sectors, SEALSQ's ability to implement its growth strategies, SEALSQ's ability to continue beneficial transactions with material parties, including a limited number of significant customers; market demand and semiconductor industry conditions; and the risks discussed in SEALSQ's filings with the SEC. Risks and uncertainties are further described in reports filed by SEALSQ with the SEC. SEALSQ Corp is providing this communication as of this date and does not undertake to update any forward-looking statements contained herein as a result of new information, future events or otherwise. SEALSQ Corp.Carlos MoreiraChairman & CEOTel: +41 22 594 3000info@sealsq.comSEALSQ Investor Relations (US)The Equity Group Inc.Lena CatiTel: +1 212 836-9611 lcati@equityny.com

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