Nvidia sheds almost $600 billion in market cap, biggest one-day loss in U.S. history

finance
Created 1/27/2025
Updated 1/27/2025

Nvidia suffered a historic USD600 billion market cap loss, the largest one-day drop in U.S. history, after its stock fell 17% due to fears of rising competition from China’s DeepSeek AI. DeepSeek's low-cost, open-source AI model, built on Nvidia’s H800 chips, sparked concerns about reduced GPU demand. Analysts remain optimistic, citing long-term AI growth, but market jitters followed Nvidia's massive valuation surge in recent years. Broadcom and data center firms also saw significant losses. Nvidia's CEO Jensen Huang’s net worth dropped USD21 billion, and the company is now the third most valuable publicly traded firm.

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