DeepSeek is the strongest domestic weapon! Overnight, "$1 trillion market value, $100 billion billionaire" turned to ashes

DeepSeek has gone crazy, and the "tycoons" have become the biggest victims. Overnight, the Nasdaq 100 index and the market value of tech stocks plummeted, with the Nasdaq 100 index losing nearly $1 trillion compared to last Friday, while the 500 global billionaires led by NVIDIA co-founder Jensen Huang collectively lost $108 billion. The Bloomberg Billionaires Index shows that billionaires related to artificial intelligence are the biggest losers, including: Jensen Huang's wealth shrank by $20.1 billion, a decrease of 20%; Oracle co-founder Larry Ellison's wealth decreased by $22.6 billion, although larger in absolute terms, it only accounted for 12% of his wealth; Michael Dell of Dell Technologies lost $13 billion; Binance co-founder Zhao Changpeng lost $12.1 billion. Analysts believe that DeepSeek has burst onto the AI scene like a dark horse, posing a significant challenge to American tech giants. The company developed an AI model that can compete with the latest products from companies like OpenAI and Meta for just $5.6 million. In contrast, Meta CEO Mark Zuckerberg announced last Friday that the company would invest $60-65 billion in AI-related projects by 2025. Vey-Sern Ling, Managing Director of Union Bancaire Privee, stated: “DeepSeek demonstrates that it is possible to develop powerful AI models at a lower cost. This could disrupt the entire investment logic of the AI supply chain, which is currently based on the high expenditures of a few super-large companies.” Paul Nolte, market strategist at Murphy & Sylvest Wealth Management, pointed out that investors need to view AI companies differently, and believing that certain companies have monopolized the market and given extremely high valuations is a significant mistake. Nevertheless, not all companies have been negatively impacted. Analysts believe that some companies expected to use AI rather than develop it, such as Salesforce, banks, and large retailers, may benefit from DeepSeek's open-source approach, as they could deploy AI at a lower cost.