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Business Insider
203 days

Investors worry DeepSeek reduces AI chip demand, but there's a case for remaining bullish on Nvidia

1. DeepSeek's AI claims triggered panic in top AI firms like Nvidia. 2. Nvidia's stock plummeted 18%, losing $589 billion in market value. 3. Analysts believe the sell-off reaction is overblown; demand for compute may actually rise. 4. Top companies like OpenAI and Meta plan to significantly increase AI chip investments. 5. Concerns remain about long-term viability if DeepSeek's claims are validated.

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FAQ

Why Bearish?

DeepSeek's AI claims challenge Nvidia's high demand for chips, leading to significant sell-off.

How important is it?

The developments regarding DeepSeek may have substantial implications for Nvidia's future pricing.

Why Short Term?

Market reactions tend to be immediate, but potential recovery could occur as AI demand reassesses.

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