An index of Chinese technology stocks has seen an increase of more than 20 % last month. Investors are betting on Chinese internet companies after the success of Artificial Intelligence of Deepciak). Hence, Chinese technology has entered stocks bull phase. Hang Seng Tech Index has reached 25 % from its low level of 13 January 2025. This index consists of shares of 30 major tech group listed in Hong Kong. If we talk about the US index Nasdaq 100, then it has seen only an increase of only 4.4 %.
The AI model in this index of Hong Kong shows the increasing interest of foreign investors in China after the success of the AI model DipC. This AI model has been developed with lower computing power than American companies. With this, the re -evaluation of Chinese tech companies at the global level has started again.
An expert associated with a Chinese market said, ‘Only Chinese Internet companies are competitive at the global level, which can be compared to the American Magnificent 7. The process of investment in China has again intensified due to improvement in the sentiment. Because of this, we have seen a boom in the Chinese market in recent weeks. The shares of the Internet company Alibaba Rose increased by more than 6 % on February 12. Darus, Chinese media has reported that the company is working with Apple to launch the AI features of the iPhone in China. This activity can be a boon for the Chinese market.
The Deepciak introduced the Large Language Model (LLM) in late January, surprising the Silicon Valley. Also, it was also claimed that this Artificial Intelligence (AI) model has been prepared in a very cheap budget. This also raised questions about the need for big investment in AI.