KUALA LUMPUR: Nasdaq futures have plunged as the launch of China’s DeepSeek AI model last week – a free, open-source artificial intelligence model touted to rival OpenAI’s ChatGPT -shook investor confidence in Nvidia’s prospects.
Nvidia is seen as having an unassailable lead in the manufacture of chips used in artificial intelligence (AI) technology, but news of a game-changing AI model by DeepSeek – an AI lab funded by Chinese hedge fund High-Flyer – sent the American chip giant’s shares falling more than 3% last Friday.
The release of Deepseek’s AI model, which it said was developed at a fraction of the cost of AI systems from OpenAI, had investors questioning if there was really a need for high-powered chips to fuel AI development.
Going by the performance of US futures, the fall is set to worsen.
At the time of writing, the Nasdaq mini was…
