economedia.ro/bula-inteligentei-artificiale-s-a-sp

The AI investment bubble in China is bursting, with tech companies losing around $480 billion in market value in less than four months. This decline follows nearly two years of significant growth driven by investor enthusiasm and government support. The CSI300 index has dropped about 20% from its June highs, indicating a broader market downturn. Major companies, including robot manufacturer Unitree and chipmaker CXMT, have seen substantial losses. Analysts attribute the decline to overvaluation, doubts about future demand, and potential U.S. trade restrictions. Despite a 40% drop in the STAR50 index, valuations remain high, raising concerns about further declines. Some investors see buying opportunities, while others predict increased competition among Chinese chipmakers.