World’s Richest Lose $108 Billion Amid DeepSeek-Induced Market Selloff

New York, United States: The financial fallout from the debut of DeepSeek’s groundbreaking AI model has rippled through global markets, wiping $108 billion from the fortunes of the world’s wealthiest individuals on Monday. The selloff, led by sharp declines in tech stocks, has sent shockwaves across the industry.

Billionaires Hit Hard Among the hardest hit was Jensen Huang, the co-founder and CEO of Nvidia. Huang’s net worth plummeted by $20.1 billion—a staggering 20% decline—as Nvidia’s shares dropped nearly 17%, erasing $590 billion in market value. Nvidia, a key player in the AI industry, has been particularly vulnerable to the rise of DeepSeek, a Chinese startup that has introduced an AI chatbot at a fraction of the cost incurred by US tech giants.

Other major losses include:

• Larry Ellison (Oracle Co-founder): A $22.6 billion reduction in net worth following Oracle’s 14% stock decline, which wiped out $71 billion in market capitalization.

• Michael Dell (Dell Technologies Founder): Dell’s fortune shrank by $13 billion amid the market turbulence.

• Changpeng “CZ” Zhao (Binance Co-founder): Zhao saw his net worth decrease by $12.1 billion as investor sentiment soured.

The DeepSeek Effect DeepSeek, based in Hangzhou, China, has disrupted the AI industry by unveiling a model developed for just $5.6 million. The model’s capabilities have drawn comparisons to those of US tech leaders, prompting concerns over the competitive landscape. The Nasdaq Composite Index dropped 3.1% in response, while the broader S&P 500 fell 1.5%.

“This is a wake-up call for the US,” remarked Kathleen Brooks, Research Director at trading platform XTB. “DeepSeek’s cost-effective approach is forcing investors to rethink the traditional economics of AI development.”

Global Markets Respond The ripple effects of the selloff extended beyond the US:

• The FTSE 100 in London remained flat at 8,503.71.

• The CAC 40 in Paris fell 0.3% to 7,906.58.

• The Nikkei 225 in Tokyo dropped 0.9% to 39,565.80.

As the tech sector braces for further volatility, upcoming earnings reports from Meta and Microsoft will offer insights into how industry leaders plan to navigate this new competitive era.