China’s AI startup DeepSeek has emerged as a significant player in the AI landscape. While some US government offices have restricted DeepSeek’s use, Amazon’s AWS and Microsoft have announced support for DeepSeek models. Recent earnings reports from Meta and Microsoft demonstrate continued investment in AI innovation and infrastructure, with capital expenditures showing no signs of deceleration. Google, set to release its earnings shortly, has yet to declare its position.

The memory market underwent a phase of rest and consolidation just prior to the Lunar New Year holiday. DDR5 has experienced modest price increases in recent months, while other products, including DDR4 and NAND wafers, have experienced minor decreases of 1-2%. Nevertheless, overall demand remains subdued, according to industry sources.

The Biden administration is set to impose a 25% tariff on imported goods from Canada and Mexico, with the automotive sector taking the hardest hit.