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flag Global tech stocks plummet as Chinese startup DeepSeek unveils cost-effective AI rival.

flag Chinese AI startup DeepSeek released a free, open-source AI model, DeepSeek-R1, causing global tech stocks to plummet. flag Nasdaq dropped 3.1%, while the S&P 500 slid 1.85%. flag Major tech companies like Nvidia, Microsoft, and Meta saw significant share losses, with Nvidia's shares falling 11%. flag The release raised concerns about cheaper AI alternatives and the heavy investments made by US tech giants, leading to a reassessment of their market valuations.

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