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China's DeepSeek AI app sends U.S. tech stocks reeling

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Silicon Valley and Washington leaders said the app shows China can challenge the U.S. The Nasdaq lost 3 percent and chipmaker Nvidia shed $589 billion in market capitalization.
The article from MSN discusses the impact of China's DeepSeek AI app on U.S. tech stocks. DeepSeek AI, developed by a Chinese startup, has introduced a new AI model that rivals the capabilities of leading U.S. AI technologies. This development has caused a significant stir in the market, leading to a decline in U.S. tech stocks as investors reassess the competitive landscape. The app's advanced features, including natural language processing and machine learning capabilities, have raised concerns about potential market share erosion for American tech giants like Google, Microsoft, and Amazon. The article highlights the growing competition in AI technology between the U.S. and China, with DeepSeek AI's emergence signaling a potential shift in global tech dominance. This has prompted a sell-off in tech stocks, reflecting investor anxiety over the future profitability and market position of U.S. tech companies.

Read the Full MSN Article at:
[ https://www.msn.com/en-us/money/markets/china-s-deepseek-ai-app-sends-u-s-tech-stocks-reeling/ar-AA1xWifA ]