DeepSeek's AI Chip Push Rattles Tech Investors
By Reuters | 07 Jul, 2026

Despite Samsung's astronomical earnings on memory chip sales, investors were rattled by reports that China's DeepSeek will begin making its own AI chip.

The Nasdaq opened lower on Tuesday amid declining chip stocks, with investors questioning the momentum of the AI-led rally despite Samsung's strong earnings, while a report on China's DeepSeek making its own AI chip also hit sentiment.

The Dow Jones Industrial Average rose 48.1 points, or 0.09%, at the open to 53104.06. The S&P 500 fell 20.8 points, or 0.28%, at the open to 7516.63​, while the Nasdaq Composite dropped 161.0 points, or 0.62%, to 25960.13 at the opening bell.

(Reporting by Shashwat Chauhan in Bengaluru; Editing by Pooja Desai)