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Tech Stocks Tumble on Worries About A.I. Spending and China’s Chip Competition
The New York Times • • general
Key Points:
- Technology stocks experienced significant declines due to concerns over the high costs associated with building artificial intelligence systems and increasing competition from China in the memory chip sector.
- South Korea’s Kospi index dropped more than 10 percent, triggering a temporary trading halt, while Japan and Taiwan's benchmark indexes fell around 4 percent, and Chinese stocks declined over 2 percent.
- The Nasdaq futures fell about 1 percent, with major U.S. chip companies like Micron and Nvidia seeing notable premarket losses.
- European semiconductor companies also faced declines, with Germany’s Infineon down 4 percent and the Dutch firm ASML falling 3 percent.
