DeepSeek's AI assistant now occupies the top place in the App Store. US tech stocks crashed as they plummeted abruptly following the Chinese AI model DeepSeek taking control of the market. However, Elon Musk raises a few concerns over the Chinese firm DeepSeek.

Elon Musk responded to the issue by agreeing with the assertion of Alexander Wang, Scale AI CEO, that DeepSeek has 50,000 Nvidia H100 chips it cannot disclose because of U.S. export restrictions. "Absolutely," Musk tweeted in response. Musk also corroborated Wang's question about what DeepSeek AI is hiding.

U.S. tech stocks such as Nvidia, Microsoft, Meta, Tesla, and others have lost more than $1 trillion as DeepSeek hits the market. This is a result of an AI model, DeepSeek from China, due to the alarm it has been raising. There are reports that for developing DeepSeek-V3, only 2,000 of its chips were required against 16,000 or more for other flag models. This makes DeepSeek impressive.

The losses incurred by the major tech firms like Apple, Google's parent company Alphabet, and Amazon have also been reported. Alphabet fell by more than 2%, and Microsoft, which invested billions of dollars in OpenAI, fell almost close to 3%. Shares of Amazon, Tesla, and Meta fell as well. Only Apple's shares rose marginally.

Nvidia fell by up to 13%. This declined its market value to about $465 billion.