The US financial markets witnessed the largest daily decline in its history on January 27, 2025, when the “NVIDIA” company was hit by a strong blow that lost nearly $ 600 billion of its market value in one day, according to the “Economist” report.
This strike came at the hands of the Deepseek, which managed to develop a competitive artificial intelligence model at a cost of no more than 6 million dollars, which raised shock in Wall Street and raised questions about the future of the hegemony of “Invidia” in the specialized chips market With artificial intelligence.
Deep Sick changes the rules of the game
Invidia has always been considered the most dominant company in the field of graphics processors (GPUS), which is mainly used to train huge artificial intelligence models.
Bid said that the appearance of “Deep Seck”, which has developed a model close to the models of American giants using less developed and less expensive chips, may shook investors’ confidence in the “Invidia” business model.
“This proves that artificial intelligence does not need billions of dollars in investing in advanced chips. If Deep Seck can achieve these results at much lower costs, said the investor Jeffrey Emmanuel, who warned of the collapse of” Inviteia “shares just two days before the disaster. The entire “Invidia” business model is threatened.
Invidia faces competition and pressure
Over the past two years, the market value of “Invidia” has increased to more than 3 trillion dollars, but has seen eight of the 10 worst days in the history of the American Stock Exchange.
The last blow came at a sensitive time, according to Economist, where major companies such as Microsoft, Mita, Elon Musk, and the joint project “Stargate” (which includes “Oben AI”) announced plans to create data centers based on “Invidia” chips, which strengthened optimism About the company.
However, according to one of those familiar with one of the largest companies that use “Inviteia” chips, the lesson from the “Deep Seck” experience is that dependence on these expensive chips can be reduced, which constitutes very bad news for England.
“The markets do not like companies that monopolize supply. If other companies such as” Deep Cick “and” Oben AI “are able to improve their models by improving the time of reasoning rather than investing in more The slides, “Invidia” will face a decline in demand for its products.
Have you approached the end of the artificial intelligence bubble?
Since the launch of the “Chat GBT” in late 2022, “Inviteia” topped the mutation of artificial intelligence, but as it happened in the early days of the Internet, investors now began to wonder whether the high prices of “Inviteia” shares are based on unconfirmed promises more than they are on The basis of real profits.
In light of the increasing competition from emerging companies such as “Grok”, which develops specialized slides for high -speed reasoning, as well as technology giants’ attempts such as Amazon, Google, and Microsoft to develop its own chips, “Inviteia” faces a more mysterious future than expected.
Can “Invidia” remain at the top?
Despite all these challenges, there are still some positive indicators of the company, as “Inviteia” shares increased by 8% on January 28 – before returning to the decline – which relatively reflects the confidence of some investors that the company may find a way to survive In the forefront. The company’s market value until the end of yesterday’s session was $ 2.9 trillion.
“Ginsen Huang – the CEO of Antevia – is a leader who is characterized by a future vision, and he is always trying to stay one step in front of the competition. Now, it seems that” Invidia “is preparing for the next stage of artificial intelligence, which is known as what is known With “physical artificial intelligence”.
The “physical artificial intelligence” means developing an infrastructure for the basic models that can understand the real world, which paves the way for applications such as human robots and self -driving cars.
Despite the tremendous blow received by “Invidia”, it still has some competitive advantages, especially as it possesses the “Coda” code, which is the backbone of most artificial intelligence applications, as well as network equipment that allows it to improve the efficiency of data centers, according to the newspaper.
But Economist ultimately indicates that the high monopolistic margins of Andevia may be loyal, and we may see a fundamental shift in the artificial intelligence market, as startups such as “Deep Sick” play an increasingly important role in determining the future of the sector.
It is noteworthy that the Chinese company Ali Baba (Alibaba) announced on Wednesday the launch of a new version of its artificial intelligence model under the name QWEN 2.5-MAX, and said that it surpassed a model “in 3” (V3) developed by “Deep Sick “.
The launch of the model by “Ali Baba” company showed that the success of “Deep Sick” was not limited to influencing American companies only, but also put the giant Chinese companies under pressure to develop their artificial intelligence models.
