Nvidia experienced a historic $589 billion market cap loss on Monday, marking the largest one-day value wipeout for any company in history, triggered by the emergence of DeepSeek’s cost-efficient ChatGPT rival. Shares dropped 17%, Nvidia's worst performance since the March 2020 market crash, causing its valuation to fall from $3.5 trillion to $2.9 trillion, behind Apple and Microsoft. DeepSeek’s model, developed with minimal investment in Nvidia GPUs, raised concerns about U.S. dominance in generative AI and Nvidia’s long-term profitability. The broader market also suffered, with the S&P 500 and Nasdaq dropping significantly and major AI tech providers like Arm and Broadcom declining over 10%. Nvidia CEO Jensen Huang’s net worth fell by $21 billion, reflecting the severe impact on the company and its leadership. Continue here.
