Moonshot AI's New Kimi K3 Model Rattles Global AI and Chip Stocks

Chinese artificial intelligence startup Moonshot AI released a powerful new model, Kimi K3, that it says rivals the most advanced systems from OpenAI and Anthropic, triggering a sell-off in AI and semiconductor stocks on Friday as investors recalled last year's "DeepSeek moment." The launch rippled through global markets, pushing shares of chipmakers and AI-linked companies sharply lower as traders once again questioned the durability of the West's lead—and the scale of the capital being poured into it.