Tech Selloff Sparks $108 Billion Wealth Decline Among World’s Richest, Led by AI Investors

A global tech selloff, spurred by Chinese AI developer DeepSeek, erased a combined $108 billion from the fortunes of the world’s 500 wealthiest individuals. Nvidia co-founder Jensen Huang led the losses, with billionaires tied to artificial intelligence facing the most significant setbacks.

Huang’s fortune dropped by 20%, equating to $20.1 billion, while Oracle co-founder Larry Ellison suffered a larger absolute loss of $22.6 billion, representing 12% of his net worth. Other notable declines included Dell Inc. founder Michael Dell, who lost $13 billion, and Binance co-founder Changpeng “CZ” Zhao, whose wealth fell by $12.1 billion.

Overall, tech billionaires accounted for $94 billion of the total losses as U.S. technology stocks tumbled amid concerns over DeepSeek’s potential to challenge America’s dominance in AI. The Nasdaq Composite Index fell 3.1% on Monday, while the S&P 500 declined by 1.5%.

DeepSeek, based in Hangzhou, has been developing AI models since 2023 but gained widespread attention over the weekend when its free chatbot app, DeepSeek R1, became the most downloaded app worldwide. Reports suggest that the platform was developed for just $5.6 million, disrupting the Silicon Valley narrative that substantial capital investments are required to create leading AI models.

Since OpenAI launched ChatGPT in late 2022, companies like Meta, Alphabet (Google), and Microsoft have made substantial investments in AI, with combined spending expected to reach $200 billion by 2025. Meta CEO Mark Zuckerberg recently announced plans to allocate $60 billion to $65 billion to AI projects this year, surpassing earlier estimates.

Despite limited profits from AI ventures, the stock market has significantly boosted the valuations of U.S. tech companies, dramatically increasing the wealth of their owners. Nvidia’s Jensen Huang saw his fortune grow nearly eightfold to $121 billion, while Zuckerberg’s wealth rose 385% to $229 billion. Amazon’s Jeff Bezos experienced a 133% increase in his net worth, reaching $254 billion.

Although some tech billionaires faced substantial losses, others benefited from the recent developments. Zuckerberg added $4.3 billion to his wealth, while Bezos gained approximately $632 million during the selloff.

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