ASML CEO Christophe Fouquet expresses confidence in the continued growth of demand for AI chips, despite the emergence of cost-effective alternatives like DeepSeek's R1 model. He believes that lower AI costs will drive wider adoption and increased demand for chips.
ASML CEO Christophe Fouquet expressed confidence in the continued growth of demand for AI chips, despite the emergence of cost-effective alternatives like DeepSeek's newly unveiled R1 model. In an interview with CNBC, Fouquet stated that he sees no signs of a slowdown in demand, even though DeepSeek's model has garnered significant attention for its impressive performance at a fraction of the cost of leading U.S. players.
He believes that lower AI costs could lead to wider adoption, ultimately driving increased demand for chips. \\\Fouquet acknowledged the 'a lot of discussion' surrounding DeepSeek but emphasized that ASML hasn't received any inquiries from customers regarding the potential impact of the Chinese firm's model on chip demand. He sees the development of more affordable AI solutions as a positive opportunity for the industry, as it will enable AI applications to reach a broader range of devices. \\\ASML is currently experiencing strong demand for its products, with an order backlog of approximately 36 billion euros at the end of 2024. This positive outlook, coupled with Fouquet's confidence in the AI chip market, has led to a surge in ASML's share price, alleviating investor concerns that DeepSeek's model could dampen semiconductor spending. The company's CEO believes that AI's future growth hinges on addressing two key challenges: cost and energy consumption. He sees DeepSeek's efforts in this direction as a positive development that will facilitate wider adoption of AI across various devices
AI Chips Deepseek ASML Demand Semiconductor Fouquet R1 Model
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