Politics
Chinese AI App DeepSeek Sparks Market Turmoil, $500bn Wiped from Nvidia and US Tech Giants
The emergence of Chinese AI app DeepSeek has triggered shockwaves across the US tech industry, leading to a significant drop in stock prices for major companies. AI chipmaker Nvidia saw its value plummet by 16%, losing $500 billion in market capitalization. Rival Broadcom also suffered a sharp decline, with shares falling 17.8%, while other tech giants like Microsoft and Meta experienced notable losses.
DeepSeek has quickly risen to become the most downloaded free app in the United States, overtaking popular rivals like ChatGPT. Its reported development cost of just $6 million has sent ripples through the industry, challenging the traditional notion that groundbreaking AI technology requires multibillion-dollar investments.
In stark contrast, companies like Microsoft and Meta have committed vast sums to AI development, with investments of $80 billion and $60–65 billion, respectively. DeepSeek’s meteoric rise suggests that a lower-cost, open-source approach may disrupt existing business models and redefine what is possible in AI.
The sudden market turmoil underscores concerns about America’s dominance in artificial intelligence. Investors are now questioning whether US tech companies can maintain their competitive edge against cheaper, innovative alternatives like DeepSeek.
Nvidia, a key player in AI chip manufacturing, experienced the most significant blow, as the app’s success has called into question the scalability and profitability of existing AI strategies reliant on expensive infrastructure.
DeepSeek’s rise highlights the potential for more cost-effective, innovative solutions in AI development. While its reported $6 million development budget remains disputed by some industry experts, it has already shifted perceptions of what achieving AI breakthroughs might cost.
This development could pave the way for smaller companies and governments to explore AI without the need for massive financial resources. In the UK, where the government is banking on AI to drive economic growth and reduce public service costs, such advancements could serve as inspiration for future projects.
Despite its success, DeepSeek’s rapid rise also raises questions about its long-term sustainability, data privacy, and the technology underpinning its platform. As researchers and analysts delve deeper into its model, the app’s low-cost development claims may face scrutiny.
The DeepSeek phenomenon has upended the AI market, challenging entrenched economic assumptions and sparking uncertainty for US tech giants.
News
Venezuelan Streets on Alert as Opposition Renews Call for Political Prisoners’ Freedom
Security forces have stepped up patrols across major Venezuelan cities amid heightened political tension, as opposition groups intensified demands for the immediate release of political prisoners and renewed calls for democratic freedoms.
The increased security presence followed a wave of protests and demonstrations held overnight in several countries, many of them outside United States embassies. The gatherings reflected sharply divided global reactions to Washington’s recent decision to capture Venezuelan leader Nicolás Maduro. While some demonstrators criticised the move as an overreach, others expressed support for the action, framing it as an opportunity to push for political change and the restoration of freedoms in Venezuela.
Speaking in an overnight interview, former US president Donald Trump was asked who ultimately holds authority over Venezuela. “Me,” he replied, while insisting that the United States is not at war with the Venezuelan state. Instead, he maintained that Washington’s focus is on criminal networks, saying, “We’re at war with people that sell drugs… that empty their prisons into our country.” His remarks underscored the US administration’s position that its actions are aimed at combating transnational crime rather than engaging in a conventional conflict.
However, the situation has also sparked debate within the United States. A senior Democratic figure criticised the US strikes on Venezuela, arguing that they lacked congressional approval. He said he intends to “confront the administration” over any proposal to deploy additional US troops to Venezuelan territory, describing such a move as a “non-starter” and emphasising the need for political oversight and restraint.
In Venezuela, the human impact of the unfolding events has come into sharper focus. Speaking publicly for the first time since his parents were taken into custody, Maduro Guerra warned of the broader implications of the situation. “If we normalise the kidnapping of a head of state, no country is safe,” he said, framing the episode as a dangerous precedent with global consequences.
Amid the uncertainty, the Venezuelan opposition has sought to redirect attention toward longstanding human rights concerns. The movement led by opposition figure María Corina Machado has formally demanded the release of all political prisoners. In a statement posted on X by her Vente Venezuela movement, the group called on authorities to act without delay. “Those who unjustly hold the civilian and military political prisoners should free them immediately,” the statement read.
Machado later reposted the message, amplifying the call and reinforcing her movement’s stance that meaningful stability can only be achieved through justice, due process, and respect for fundamental rights. Supporters say the renewed focus on political prisoners reflects growing optimism that international attention could help create momentum for dialogue, reconciliation, and a more inclusive political future for Venezuela.
News
Delcy Rodríguez sworn in as Venezuela’s interim president
Venezuela has entered a new political phase after former vice president Delcy Rodríguez was sworn in as interim president, a move officials described as a constitutional step aimed at preserving institutional stability during an exceptional period for the country.
Rodríguez took the oath of office at a formal ceremony overseen by her brother, Jorge Rodríguez, who serves as president of Venezuela’s National Assembly. The swearing-in was presented by lawmakers as a necessary measure to ensure continuity of governance while President Nicolás Maduro faces legal proceedings abroad.
In her first remarks as interim leader, Rodríguez struck an emotional tone, acknowledging the gravity of the moment and the strain it has placed on the nation. She described President Maduro and his wife, Cilia Flores, as “two heroes,” praising their resilience and what she called their sacrifices in the face of sustained external pressure.
Rodríguez said she accepted the oath “with pain,” pointing to the hardship endured by Venezuelans as a result of what she characterised as “illegitimate military aggression” and foreign interference. She emphasised that her interim role was rooted in loyalty to the existing political project and a commitment to safeguarding national sovereignty.
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Venezuela’s Power Structure Holds Despite Maduro’s US Detention
Despite dramatic statements from US President Donald Trump suggesting that Washington will “run” Venezuela following the detention of Nicolás Maduro in New York, the reality on the ground remains unchanged: power in Caracas is still firmly in the hands of Maduro’s allies, not the United States.
Venezuela’s interim president, Delcy Rodríguez, is not a peripheral figure but a long-standing and influential member of Maduro’s inner circle of loyalists. Her position was formalised through a swearing-in by the Supreme Court, an institution widely regarded as loyal to Maduro’s political movement and dominated by his supporters. This process underscores the fact that Venezuela’s governing structures continue to operate under the control of those aligned with the former president.
It is therefore important to emphasise that, notwithstanding Trump’s rhetoric, the US does not currently exercise direct authority over Venezuela. Rodríguez and other Maduro allies remain in charge of state institutions and decision-making. While Rodríguez has publicly stated that Venezuela would defend itself against external pressure, Trump has hinted that cooperation could still emerge, particularly in areas of strategic interest such as increased US access to Venezuela’s vast oil reserves.
At present, US influence is not being exerted through military deployment. There are no American troops on Venezuelan soil, although Trump has not ruled out that possibility in the future. Instead, Washington appears to be relying on a different and highly symbolic form of leverage. The image of Maduro being taken into US custody and held in a New York detention centre has been presented as a powerful signal to those who remain loyal to him.
For Maduro’s allies, the message is clear. They are likely to be acutely aware that they, too, could face legal and political consequences if they resist US demands. While they retain formal control of the Venezuelan state, questions inevitably arise about how much freedom they feel they have to openly defy Washington’s pressure. On paper, authority remains theirs; in practice, the psychological impact of Maduro’s detention may weigh heavily on their calculations.
Maduro himself has been charged by US authorities with a range of serious offences, including “narco-terrorism conspiracy, cocaine importation conspiracy, possession of machine guns and destructive devices, and conspiracy to possess machine guns and destructive devices against the United States”. Summarising these allegations, President Trump described them as evidence of Maduro’s “campaign of deadly narco-terrorism” directed at the US and its citizens.
Maduro has consistently denied the accusations, rejecting claims that he led or coordinated a drug cartel.
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