Artificial intelligence stocks got a major shake-up when Nvidia (NVDA), the leader in AI chips, notched their largest single-day plunge since 2020. On Jan. 27, Nvidia shares dropped by 17%, wiping out an astonishing $589 billion from Nvidia’s market capitalization.

China's DeepSeek last week launched a free assistant it says uses less data at a fraction of the cost of U.S. models. Within days, it became the most downloaded app in Apple's App Store and stirred concerns about United States' lead in AI,