Chinese tech startup DeepSeek released a model of its AI service that seemingly is on-par with U.S.-based competitors like ChatGPT, but required far-less computing power.

DeepSeek’s ChatGPT competitor quickly soared to the top of the App Store, and the company is disrupting financial markets, with shares of Nvidia dipping 17 percent to cut nearly $600 billion from its market cap on January 27th, which CNBC said is the biggest single-day drop in US history.

A frenzy over an artificial intelligence chatbot made by Chinese tech startup DeepSeek was upending stock markets Monday and fueling debates over the economic and geopolitical competition between the U.

Broadcom’s business relies heavily on their networking products, which are crucial for data transfer in AI systems. If the market for premium AI chips experiences a downturn, amid the rise of DeepSeek, it could create a domino effect, potentially hurting sales of Broadcom’s supporting technologies and components.

OpenAI—which faces multiple lawsuits for using content without permission—accuses DeepSeek of 'distillation,' a technique that use larger models' outputs to improve smaller ones.

OpenAI has accused Chinese AI start-up DeepSeek of using its proprietary models to train an open-source competitor.