📉 Nvidia’s Historic Loss, DeepSeek’s Data Risks, TikTok Deal
Good morning. It’s Tuesday, January 28. Today we are covering:
Nvidia sheds almost $600 billion in market cap, biggest one-day loss in U.S. history
DeepSeek's Popular AI App Is Explicitly Sending US Data to China
Trump says Microsoft in talks to buy TikTok
Google to Fight $4.33 Billion EU Antitrust Fine Over Android
Sam Altman Praises DeepSeek R1 and Promises More From OpenAI
Let’s dive in
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Nvidia sheds almost $600 billion in market cap, biggest one-day loss in U.S. history
By Samantha Subin via CNBC
Nvidia's stock plunged 17% on Monday, erasing nearly $600 billion in market cap, marking the largest one-day loss in U.S. history, fueled by concerns over rising competition from Chinese AI lab DeepSeek.
The sell-off impacted U.S. tech broadly, with Dell, Oracle, and Super Micro Computer dropping over 8.7%, while rival Broadcom lost $200 billion in market value.
DeepSeek's open-source AI model has intensified fears about demand for Nvidia's GPUs, though analysts suggest AI advancements will drive increased compute needs, recommending Nvidia as a buy despite the setback.
𝕏: This is the worst single-day loss for an American company. - $600 billion Nvidia value obliterated - $1 trillion wiped from US stocks - $220 billion in crypto assets erased - David Lin (@davidlinjiahao)
DeepSeek's Popular AI App Is Explicitly Sending US Data to China
By Matt Burgess via WIRED
DeepSeek's AI app is rapidly gaining popularity in the U.S., but its privacy policy confirms that all user data, including chats and prompts, is stored on servers in China, raising significant security concerns.
The platform's data collection includes personal information, chat history, device details, and even keystroke patterns, and it has been criticized for censorship of topics critical of China.
DeepSeek's operations highlight broader risks in the generative AI sector, with experts warning about data exploitation and subliminal content influence, particularly given the lack of transparency in how these systems function.
𝕏: Just fyi, @deepseek_ai collects your IP, keystroke patterns, device info, etc etc, and stores it in China, where all that data is vulnerable to arbitrary requisition from the 🇨🇳 State. - Luke de Pulford (@lukedepulford)
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Trump says Microsoft in talks to buy TikTok
By Paige Bruton via Semafor
Microsoft is reportedly in talks to acquire TikTok, according to comments by President Donald Trump, as parent company ByteDance faces a U.S. Supreme Court-backed mandate to divest the app over national security concerns.
Trump recently signed an executive order delaying the TikTok ban by 75 days and expressed interest in a "bidding war" involving other potential buyers, including billionaire Frank McCourt, investor Kevin O’Leary, and YouTuber MrBeast.
While ByteDance previously approached Microsoft in 2020, the tech giant has declined to comment on the current situation, with no evidence yet substantiating claims of Chinese government surveillance via the app.
𝕏: Trump tells reporters on Air Force One that Microsoft is in the conversation to acquire TikTok. He says he does not have a set timeline or level for the tariffs he announced today. “Well I won’t be setting it yet, I have it in my mind what it’s going to be,” he said. - Stephanie Lai (@stephaniealai)
Google to Fight $4.33 Billion EU Antitrust Fine Over Android
By Edith Hancock via Wall Street Journal
Google is challenging a €4.34 billion ($4.55 billion) antitrust fine imposed by the European Commission, its largest-ever EU penalty, over allegations of abusing its dominance in the Android operating system.
The European Commission claims Google forced manufacturers and network operators into pre-installation agreements that ensured traffic on Android devices directed users to Google Search.
The case is being heard in Luxembourg, marking a pivotal moment in Google's ongoing battles with EU antitrust regulators.
𝕏: Google and its advisors will be in the EU’s top court today, as they seek to overturn a record antitrust fine over Android. A dozen parties slugging it out. An army of lawyers. Five judges, including the president. 4 billion euros at stake. - Nicholas Hirst (@nicholashirst_)
Smartwatch pioneer and Kickstarter darling Pebble is returning in a new form
By Brian Heater via TechCrunch
Pebble is returning, with founder Eric Migicovsky relaunching the smartwatch brand as a passion project, using Google's open-source PebbleOS for new third-party hardware.
The new watch will focus on e-paper displays, long battery life, and hackable features, catering to enthusiasts who value simplicity and utility over high-tech distractions.
The project, currently self-funded, avoids Kickstarter and VC funding, aiming for a modest launch based on consumer interest, with Migicovsky prioritizing functionality and user experience.
𝕏: We’re bringing Pebble back → rePebble.com - Eric Migicovsky (@ericmigi)
Trending in AI
China’s emboldened AI industry releases flurry of model updates
Sam Altman Praises DeepSeek R1 and Promises More From OpenAI
Fracture Of The Moat: How AI Agents Are Reshaping Business Models
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