Chinas DeepSeek could upend AI business models. Heres why – National [Video]

Chinese startup DeepSeek sent shockwaves through financial markets Monday on claims that it could develop advanced artificial intelligence models using much cheaper semiconductors than previously thought possible.

Those implications sent shares of Nvidia, a chipmaker whose value surged in recent years on promises to power the AI revolution, down double digits as markets opened for the week.

Other tech stocks also took a hit Monday as investors grappled with what the new player’s emergence could mean for the future of the AI industry.

“This company may not be the winner at the end of the day, but it’s caused a lot of people to question the model that had been the expectation a few weeks ago,” Greg Taylor, chief investment officer at Purpose Investments, told Global News.

The S&P 500 was down 1.8 per cent in afternoon trading and heading for its worst day in more than a month. Big Tech stocks took …