The dawn of DeepSeek, China’s Artificial Intelligence System, has proven once again the limits of sanctions and Washington’s total inability to maintain exclusive dominance of AI, compromising its self-arrogating claims about world leadership.

Deepseek took the US by storm

The arrival of DeepSeek caused a US$590 decline in the market value of Nvidia, a US-based tech company that claims to be the “world leader in Artificial Intelligence Computing”. Clearly, DeepSeek – which is a massive model that can supply information at a much lower cost than its competitors – has upended this claim. Overall, Deepseek wiped US$1 trillion off the US stocks. This is in addition to the fact that DeepSeek topped the Apple app store in the West over the last weekend, indicating its rapid acceptance and a mass shift away from US-based AI sources to China-based AI sources.

Elsewhere in Europe, the pan-European Stoxx 600 fell on Monday, and major European technology stocks were down. The Dutch chipmaker ASML slid by 7%, while Germany’s Siemens Energy, which provides hardware for AI infrastructure, was down nearly 20%, and France’s digital automation company Schneider Electric fell by 9.5%. The meltdown was not at all surprising.

A report in The Guardian noted in August how US tech companies were investing too much in AI but yielding too little benefit from it. But China outsmarts the scale of investment in the US........

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