US tech stocks tentatively recovered on Tuesday after Donald Trump described the launch of a chatbot by China’s DeepSeek as a “wake-up call” for Silicon Valley in the global race to dominate artificial intelligence.
The emergence of DeepSeek, which has built its R1 model chatbot at a fraction of the cost of competitors such as OpenAI’s ChatGPT and Google’s Gemini, wiped $1tn (£800bn) in value from the leading US tech index on Monday.
