The tech markets sold off today because Chinese AI company DeepSeek just released an AI model that is as good as Western models, but without the latest chips, and at 1% of the cost.
It shows that the government ban on high-end chips to China forced them to get innovative, and they caught up.
It's possible that the U.S. bans DeepSeek, but that might not matter.This might be like running the 5 minute mile. Once Roger Bannister did "the impossible", several other people did it. So now DeepSeek has shown that it's possible to build a good model with less.
In the long run, this will help the tech markets. I'm sure Nvidia will still have to sell chips for big models.