Is the AI bubble popping? No. However... After Jensen Huang (Nvidia CEO) said "China is going to win the AI race", citing cheaper energy and fewer regulations, Nvidia stock lost ~$500 BILLION in market cap in just one week (dropping from $4.94T to $4.45T). At the same time, a powerful Chinese AI model Kimi K2 Thinking just topped global benchmarks, beating GPT-5 and Claude Sonnet 4.5 on key tests. It was extremely cheap to train, reportedly costing only $4.6 million (compared to the billions spent by OpenAI). It's also 4x cheaper to use than GPT-5.
The takeaway? None.