Nvidia Faces $600 Billion Loss as DeepSeek Challenges Its AI Leadership

This dramatic downturn was precipitated by the emergence of DeepSeek, a Chinese AI startup co-founded by Liang Wenfeng. DeepSeek is an artificial intelligence research lab based in Hangzhou, China. Its AI model DeepSeek-R1, which was released in early January, has topped the iPhone download chart in the US, leaving behind the industry giant OpenAI’s ChatGPT. the company claims to have achieved this without relying on Nvidia’s high-end semiconductors, which have been central to many AI advancements to date.