Microsoft CEO Satya Nadella has recognized DeepSeek's R1 as a new bar for the company's AI success.DeepSeek, a small team of 200 people, optimized AI models to be more compute efficient below Nvidia's CUDA layer.Nadella mentioned that DeepSeek's achievements highlighted the power of collaboration and focus on a common goal.Microsoft has made an $80 billion investment in AI, further emphasizing its commitment to advancing in the field.