By Arsheeya Bajwa
February 24, 2025 – 3:58 AM PST
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(Reuters) – Demand for Nvidia’s pricey artificial intelligence chips will be in focus when the company reports results on Wednesday as investors doubt the hefty spending on the technology after low-cost AI models from China’s DeepSeek rattled the industry.
The world’s second most valuable company has been the top beneficiary of an AI-driven spending spree by big technology companies over the past two years.
But claims that DeepSeek’s AI models rival its Western counterparts at a fraction of the cost has led some investors to ask if Nvidia’s cutting-edge chips are essential for gaining an edge in AI race.
DeepSeek’s sudden rise in January resulted in Nvidia losing $593 billion in market value, the largest one-day loss for any U.S….
