arXiv q-fin· Marco Taboga·· 5 hr agoAI Score46
Financial Market Reactions to the Release of DeepSeek R1 and Kimi K3: A Critical Analysis
The Reaction of Financial Markets to the Releases of DeepSeek R1 and Kimi K3: A Critical Analysis
AI summary
This paper compares financial market reactions following the release of two frontier Chinese large AI models: DeepSeek R1 in January 2025 and Kimi K3 in July 2026. DeepSeek R1, with open weights and extremely low training and inference costs, triggered sharp declines in share prices of semiconductor and data-center related firms. Kimi K3 was released at near-frontier pricing, and market reactions were concentrated mainly on other domestic AI laboratories.
Source:arXiv q-fin · arxiv.org