Last month, the Chinese artificial-intelligence startup DeepSeek released a new large language model (LLM) that it claims performs at least as well as those of leading American AI firms, despite having cost far less to train, and using a fraction of the computing power. Almost immediately, US tech stocks plunged, with chipmaker Nvidia losing a record-breaking $589 billion in value in one day.
Last month, the Chinese artificial-intelligence startup DeepSeek released a new large language model (LLM) that it claims performs at least as well as those of leading American AI firms, despite having cost far less to train, and using a fraction of the computing power. Almost immediately, US tech stocks plunged, with chipmaker Nvidia losing a record-breaking $589 billion in value in one day.