Global markets sink as DeepSeek triggers AI rethink, with tech stocks hardest hit
SINGAPORE – The emergence of a low-cost Chinese artificial intelligence (AI) model sparked a global market rout on Jan 28 as investors questioned the sky-high valuations of AI bellwethers, with US President Donald Trump saying it was a “wake-up call” for Silicon Valley.
The increasing popularity of DeepSeek spurred investors to dump tech stocks globally, with ripples spreading beyond the US markets to Tokyo, Amsterdam and even Singapore.
It all stemmed from a free AI assistant launched by Chinese start-up DeepSeek last week that the firm said uses less data at a fraction of the cost of services available currently, garnering significant attention worldwide, including from OpenAI chief executive officer Sam Altman, who called it an…
