NEW YORK (AP) — Wall Street is tumbling on fears the big U.S. companies that have feasted on the artificial-intelligence frenzy are under threat from a competitor in China.

The S&amp;P 500 fell 1.8% in early trading Monday.

Big Tech stocks that have been the market’s biggest stars took the heaviest losses, with Nvidia down 10%, and they dragged the Nasdaq composite down 3.1%.

The Dow Jones Industrial Average, which holds less tech, held up better with a drop of 0.3%. A Chinese company called DeepSeek said it had developed a large language model that can compete with U.S. giants at a fraction of the cost.

Originally Published: <time datetime="2025-01-27 09:49:39">January 27, 2025 at 9:49 AM EST</time>

Wall Street is tumbling under threat from an artificial intelligence competitor in China{ai:summary}<p>Wall Street is experiencing a downturn due to concerns that a Chinese company, DeepSeek, has developed a competitive large language model that threatens U.S. tech giants. The S&P 500 dropped 1.8%, with Nvidia falling 10% and the Nasdaq composite down 3.1%.</p><p>The Dow Jones fared slightly better, declining only 0.3%. The market's reaction highlights the growing competition in the artificial intelligence sector. #economy</p>

Wall Street sinks as investors weigh China challenge to US dominance in AI. Nvidia tumbles 10%.

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