Tech stock selloff deepens as DeepSeek triggers AI rethink

https://www.reuters.com/technology/tech-stock-selloff-deepens-deepseek-triggers-ai-rethink-2025-01-28/

SINGAPORE, Jan 28 (Reuters) - Japanese technology shares fell on Tuesday as a global market rout sparked by the emergence of a low-cost Chinese artificial intelligence model entered day two, with investors questioning the sky-high valuation and dominance of AI bellwethers.

In Japan, chip-testing equipment maker Advantest, a supplier to Nvidia, lost 10% on Tuesday after diving nearly 9% on Monday. Chip-making equipment maker Tokyo Electron fell 5.3%, while technology start-up investor SoftBank Group was 6% lower.

It is not just the chipmakers and tech companies but companies focused on datacentres also taking a hit, with Malaysia's utility conglomerate YTL Power (YTLP.KL) down 7.5% on Tuesday, its third session of steep loss.