Shares for leading US chip firm Nvidia dropped by almost 17% on Monday after the emergence of DeepSeek stunned Silicon Valley.
The sharp pullback in Nvidia shares Monday cost investors $592.7 billion in paper losses as investors fled the stock amid rapid advancements at [China's DeepSeek](
Chinese startup DeepSeek has debuted an AI app that challenges OpenAI's ChatGPT and other U.S. rivals, sending a shock through Wall Street.
"Black Swan" author Nassim Taleb is warning investors about the fragility of wealth concentration in technology stocks, particularly highlighting Nvidia Corp. following its recent 17% decline amid the emergence of DeepSeek's artificial intelligence model.
Nvidia the artificial intelligence titan, is on a downward spiral as investors react to the possibility of reduced spending in AI.
A major tech stock sell-off ensued Monday as the debut of DeepSeek rattled investors. Nvidia, Alphabet, and Microsoft were among the biggest losers.
Nvidia stock is set for its worst trading day in recent history — however, two Wall Street analysts remain bullish, despite new competition.
Nvidia (NASDAQ: NVDA) stock fell 1.3%, a day after the chipmaker rallied to recover some of Monday’s steep losses suffered on Monday. Week to date, the stock is down more than 9% after the DeepSeek-sparked sell-off to start the week.
The release by the Chinese artificial intelligence lab DeepSeek of an AI model that is faster and more efficient than anything currently on the market, and is also free, just sent shockwaves through the AI sector.