28/01/2025
HISTORY: NVIDIA lost nearly $600 billion in market value today—more than double the previous biggest single-day drop for any company in U.S. history. Its stock fell 17% to $118.58, marking its worst day since March 2020. This sharp decline also pulled down the Nasdaq by 3.1%, just days after Nvidia briefly became the most valuable publicly traded company, overtaking Apple.
Concerns over competition from Chinese AI lab DeepSeek sparked the sell-off. DeepSeek recently launched a free, open-source AI model built in just two months for under $6 million using Nvidia’s lower-end H800 chips. This has raised doubts about Nvidia’s dominance in the AI market.
Nvidia’s GPUs are widely used in the U.S. for AI projects, with companies like Google, Meta, and Amazon investing heavily in them. However, new competition like DeepSeek could shake up the market.
