Nvidia shares fall as Chinese AI software DeepSeek concerns markets

Nvidia, the US tech behemoth, lost more than a sixth of its value after the rising popularity of a Chinese artificial intelligence (AI) app alarmed investors in the United States and Europe.

DeepSeek, a Chinese AI chatbot apparently built for a quarter of the cost of its competitors, debuted last week but has already become the most downloaded free app in the United States.

Nvidia, the world’s largest AI chipmaker, and other AI-related tech companies such as Microsoft and Google saw their stock prices fall on Monday following DeepSeek’s unexpected gain.

In a separate development, DeepSeek said on Monday that it will temporarily suspend registrations due to «large-scale malicious attacks» against its software.

The DeepSeek chatbot was apparently produced for a fraction of the cost of its competitors, raising concerns about the future of America’s AI superiority and the magnitude of US corporations’ planned investments.

In one of his first statements since coming to office, President Donald Trump described it as «the largest AI infrastructure project by far in history» that will help keep «the future of technology» in the United States.

In the United States, AI chipmaker Nvidia closed Monday’s trading down 16.9%, while rival Broadcom fell 17.4%.