Nvidia, TSMC, ASML Among Tech Stocks Sinking on DeepSeek Threat

Group 1 - A significant decline in artificial intelligence stocks, including Nvidia, occurred after Chinese startup DeepSeek launched an AI model that operates on less-advanced chips and at a lower cost than U.S. competitors like OpenAI [1][7] - DeepSeek's performance has been reported to be "on par with ChatGPT," despite U.S. export controls on advanced chips affecting Chinese AI companies [2] - Nvidia's shares fell by 11% in premarket trading, with other chipmakers like Taiwan Semiconductor Manufacturing Co. and Broadcom also experiencing declines of over 11% and around 12% respectively [3][7] Group 2 - Nasdaq futures dropped approximately 4%, with Meta Platforms down nearly 4% ahead of its earnings report [4] - Citi analysts maintained a buy rating on Nvidia, anticipating continued demand for advanced chips from AI companies [5] - Analysts expressed skepticism about DeepSeek's achievements being accomplished without advanced GPUs, suggesting that U.S. companies still hold an advantage in access to cutting-edge chips [6]