Chinese AI App DeepSeek Disrupts Tech Markets
Stock Plunge Highlights Concerns Over U.S. AI Dominance
The launch of China-based AI app DeepSeek has rattled global tech markets, causing a sharp decline in major stocks. Nvidia shares plummeted 16.9%, contributing to a 1.5% dip in the S&P 500, while the Nasdaq Composite fell 3.1%. DeepSeek’s AI model, reportedly rivaling ChatGPT at a lower cost, surged in popularity, topping the U.S. App Store. Experts highlight concerns over transparency, geopolitical tensions, and the implications of U.S. export controls. The AI race between China and the U.S. intensifies as DeepSeek showcases innovative approaches to artificial intelligence development.