Nvidia, a dominant player in AI chip manufacturing, suffered a major stock decline due to a surprising development.
A Chinese firm, DeepSeek, showcased a groundbreaking AI training method requiring significantly fewer Nvidia chips.
This challenges the long-held belief that massive chip purchases are crucial for advanced AI development, impacting Nvidia's market position.
Although Nvidia remains a key player, the reduced demand for their chips introduces uncertainty and potential for slowed growth.
