Wall Street was poised for a decline at the opening on Monday, triggered by the increasing popularity of an affordable Chinese artificial intelligence model called “DeepSeek.”
This led to a selloff in shares of chipmaker Nvidia and other firms expected to gain from AI technology investments. The Chinese startup DeepSeek introduced a free AI assistant, claiming it operates on less costly chips and requires less data, thereby questioning the common market assumption that AI would boost demand across the supply chain from chip manufacturers to data centers.
Reuters:
DeepSeek’s AI Assistant on Monday overtook rival ChatGPT to become the top-rated free application available on Apple’s App Store in the United States.
Investors are likely to question whether DeepSeek’s developments have the potential to really disrupt the industry, said Adam Sarhan, CEO of 50 Park Investments.
“If it is something that can, then we have a situation where all these AI stocks and the market as a whole will be re-priced.”
Nvidia, whose chips are the top choice for powering AI applications, dropped 11.4% in premarket trading, while industry peers Broadcom and Marvell Technology fell about 11% each.
Microsoft, Meta Platforms, and Google-parent Alphabet fell between 1.8% and 3.6%. AI server makers Dell Technologies and Super Micro Computer slid 5.6% and 8.1%.
MacDailyNews Take: Update, 12:02pm ET: Up $6.41 or 2.88% on the day to $229.19, Apple on Monday roared past Nvidia to once again retake the mantle of The World’s Most Valuable Company with a commanding market cap of $3.447 trillion as investors flee to the safe harbor operating out of Cupertino. Looks like being way behind in AI is paying off, temporarily, at least!
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Would a reasonable person load this app on a personal device? I’m slow to buy anything from China on AMZN, say nothing of China-built-truth (suspicious of other “functions” as well).
Serious question.
Would a reasonable person load any software, or personal info on an Android device… clearly yes, which makes me think they would just as quickly load an app from China. Data security, is not an issue for any Android / Google / Meta software user…and i suspect china is not a concern to them either.
two words. Tik Tok.
That what happens if you push China into a corner – you force them the develop their own tech, cheaper and possibly better. The moron in the White House is doing a great job, indeed
You’re losing bigly, floundering, and you’ve obviously got no real answers, bless your heart. 🙂
DeepSeek was founded in May 2023, during the “Biden” admin.
DeepSeek Coder was released in November 2023, during the “Biden” admin.
DeepSeek-V2 was released in May 2024, during the “Biden” admin.
DeepSeek-V3 was released in December 2024, during the “Biden” admin.
And your point is caller ???
Crystal clear.
It’s not… posting a picture of the orange man child does nothing ..
hugo, it’s not FirstThen’s problem that you’re a f*cking ret@rd.
Yea, may have been founded and developed during the Biden Admin but as a consequence of the previous Trump Admin. They saw what can happen and no guarantee it would improve under Biden and Trump would not come back, so this may well have been proactive.
Yeah, Peter…giving up ground and letting one’s greatest competitor & threat to roll one over, is a really good option. I’m all in for peace–at all costs.
Have you been sleeping since the 1990’s too, when China was “let in.” A good book for you;
“The Hundred Year Marathon.” I think the “moron” in the WH is privy to something you’re missing.
Well he just left, give the new guy a chance to fix all the problems that have been installed over the past four years.
There are no tech “start-ups” in China. You get nowhere without Chinese Communist Party funding and control.