Day: March 4, 2025
DeepSeek’s AI Disruption – What It Means for Investors
On 20th January 2025, a relatively unknown Chinese AI software developer called DeepSeek released their latest AI reasoning model called R1. Within 1 week of DeepSeek’s R1 launch, the US Nasdaq market fell by 3.5% on January 28th, while some of the world’s leading technology hardware companies, including Nvidia, Broadcom, SK Hynix and ARM Holdings, fell by 10-20% in a single trading session. Did this mean that demand for specialised chips like NVIDIA GPUs would be substantially lower than current expectations?