Financial analysts and industry reports said this week that China’s artificial intelligence investment boom has cooled sharply, with the mainland’s main index of AI and semiconductor stocks losing about 40% of its value in four months.
The reported correction spans private AI startups, public valuations and state-backed computing projects in Beijing, Shanghai and Shenzhen. Moneycontrol, citing the Reuters report, said frustration that an investment theme backed by Beijing had ended so badly drove many investors into defensive assets and is likely to slow equity fundraising by tech firms [1].
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