Tech stocks mixed as Meta, Microsoft affirm big AI spending plans after DeepSeek turmoil

Group 1: AI Investment Strategies - Meta plans to invest "hundreds of billions of dollars" in AI-related infrastructure, including computer chips and data centers, as stated by CEO Mark Zuckerberg [3] - Microsoft has earmarked $80 billion for AI-related efforts in fiscal 2025 and continues to express confidence in long-term profitability from AI investments [5] - SoftBank is reportedly in talks to invest an additional $15 billion to $25 billion in OpenAI, indicating strong interest in AI development [6] Group 2: Market Reactions and Competitor Dynamics - Following the rise of DeepSeek, Nvidia and other AI leaders face concerns about potential decreased demand for their products due to cheaper alternatives [2] - Microsoft shares fell by 6% after providing weaker-than-expected revenue guidance, despite its ongoing investment in AI [4] - Tesla's stock increased by about 2% after CEO Elon Musk hinted at significant AI-related plans for the future [9] Group 3: Competitive Landscape and Challenges - DeepSeek claims to have trained an advanced AI model for less than $6 million, raising questions about the true costs and competitive dynamics in the AI sector [7][8] - The US tech sector experienced significant pressure, with major companies like Nvidia losing a collective $1 trillion in value in a single day due to concerns over DeepSeek's advancements [3]