Entrepreneur Marc Andreessen, known for co-writing Mosaic, one of the world’s first web browsers, wrote Sunday on X that “DeepSeek R1 is AI’s Sputnik moment,” likening it to the space race between the U.S. and the Soviet Union and the event that forced the U.S. to realize that its technological abilities were not unassailable.

The tech-heavy Nasdaq composite closed down nearly 3% on Monday, with shares of AI-focused chipmaker Nvidia plunging 17% and shaving nearly $590 billion from the company’s market cap.

Chinese startup DeepSeek’s app has climbed to the top of the iPhone charts as its newest AI assistant showed competitive performance against rivals like OpenAI and Meta.

By Lawrence Delevingne, Samuel Indyk and Tom Westbrook BOSTON/LONDON/SINGAPORE (Reuters) -U.S. stock futures steadied, the dollar ticked higher and tech stocks in Asia slid on Tuesday following a wave of selling as apparent advances by a Chinese AI startup cast doubt on U.

The sudden popularity of a Chinese artificial intelligence app called DeepSeek pummeled tech stocks and captivated Silicon Valley on Monday, prompting debate in political and tech industry circles about how the United States can maintain its lead in AI.

Technology stocks regained ground on Tuesday, a day after a low-cost Chinese AI model rattled markets, while traders rotated back into the dollar from safe-haven currencies. The tech rebound boosted Wall Street's main stock indices,

The soaring popularity of a new AI chatbot from Chinese startup DeepSeek, plus the company's low-cost and high-performance advances in AI development, sent U.S. tech stocks tumbling Monday. Chipmaker Nvidia's shares slumped 17%,