NEW YORK, United States: AI stocks slid Monday as investors reacted to calls from technology leaders to slow the development of increasingly powerful artificial intelligence systems.
Nvidia shares closed 3.3% lower in New York, while Advanced Micro Devices fell 4%. Micron Technology and SanDisk each dropped 5%. Meanwhile, the tech-heavy Nasdaq declined 0.5%.
The moves followed an appeal from Anthropic Chief Executive Dario Amodei. He urged the industry to slow the development of frontier AI models.
Later, OpenAI Chief Executive Sam Altman, Google DeepMind chief Demis Hassabis and Elon Musk supported Amodei’s broader warning.
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However, U.S. President Donald Trump rejected calls for tighter AI controls. In a social-media post, he described them as a “sick conspiracy” that would benefit China.
Meanwhile, Trump spoke by phone with Nvidia Chief Executive Jensen Huang. He called fears of robots taking over the world “a hoax.”
The sell-off also spread beyond U.S. chipmakers. Japan’s SoftBank fell 13%, while Dutch semiconductor-equipment supplier ASML dropped 6%. Taiwan Semiconductor Manufacturing Company declined 1.2%.
Read: Trump AI Race Stance Puts China Lead Ahead of Slowdown
Elsewhere, South Korea’s Kospi index fell 3%. In London, however, advertising group WPP and analytics company Relx each gained 5%.
Deutsche Bank strategist Jim Reid said strong competition between companies and countries made a broad retreat from AI investment difficult to imagine. Still, he said more spending could shift toward safety and governance.