Why Artificial Intelligence (AI) Hardware Winners Taiwan Semiconductor, Marvell, and Arista Networks Plunged by Double Digits Today

Shares of AI-related hardware companies plunged on Monday, including Taiwan Semiconductor Manufacturing (NYSE: TSM), Marvell Technology (NASDAQ: MRVL), and Arista Networks (NYSE: ANET), which fell 14.4%, 18%, and 21.9%, respectively, as of 1:11 PM EDT.The obvious reason for the sell-off is last week's release of the AI reasoning model DeepSeek V3 R1. Over the weekend, it became apparent that DeepSeek, a little-known Chinese AI lab, had built a leading frontier AI model with significantly less computing power than had been thought necessary.That led most AI hardware names, many of which were trading at high valuations, to sell off hard. But how much of a risk does this new model really pose?Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool