Member-only story
DeepSeek rains on the AI hype parade
Uh-Oh. Who could have predicted “AI” is a dotcom bubble?

As I write this, Wall Street traders are in meltdown, running around in circles with their hair on fire. Panicked individuals, especially those who had invested heavily into AI, were shouting into phones: “Sell! Sell! Sell! AaaAA!!” These live scenes reveal that awareness is dawning that the sure-thing AI boom maybe a bust.
As a Reuters report puts it:
“In the last session, Nvidia lost $593 billion in market value — a record one-day loss for any company, while shares of companies in semiconductor, power and infrastructure companies exposed to AI collectively shed more than $1 trillion.”
Around 20th January, 2025, Chinese-made artificial intelligence (AI) model DeepSeek released its latest version and the performance quickly impressed AI experts. With word spreading, the attention of the entire tech industry and the world on the app, it has now shot to the top of Apple Store’s downloads, stunning investors and sinking some tech stocks.