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US President Donald Trump has called the rise of Chinese company DeepSeek “a wake-up call” for the US tech industry, after the emergence of its artificial intelligence (AI) model triggered shockwaves on Wall Street. Shares in major tech firms such as Nvidia fell sharply, with the chip giant losing almost $600bn (£482bn) in market value.
What has shaken up the industry is DeepSeek’s claim that its R1 model was made at a fraction of the cost of its rivals – raising questions about the future of America’s AI dominance and the scale of investments US firms are planning.
