Nvidia's stock plunged Monday, losing $600 billion in market value—the largest single-day market cap loss in history—as global attention turned to Chinese AI startup DeepSeek.
The tech giant's stock began the day trading at $140 but fell 16% and closed at $118 as news of DeepSeek’s low-cost AI developments and high-performance spread.
Its plunge reflects a broader trend, with the U.S. tech industry shedding an estimated $1 trillion in market capitalization and those concerns spreading to other areas of the economy, including crypto.
DeepSeek's ability to outperform OpenAI’s o1 while operating at a significantly lower cost, reportedly under $5 million, has rocked the tech industry, which has prioritized computational power over efficiency.
Its success has propelled DeepSeek to become the top free app in the U.S., according to Appfigures’ data.
Another f...
24h Most Popular
Utilities