For the second time in the last month, a Chinese app has skyrocketed to the top spot in Apple’s App Store. The first was Xiaohongshu, or RedNote, which saw a sudden surge in downloads by United States users seeking an alternative to TikTok in anticipation of the ban on that app,

Silicon Valley and Washington leaders said the app shows China can challenge the U.S. The Nasdaq lost 3 percent and chipmaker Nvidia shed $589 billion in market capitalization.

DeepSeek released an open-source artificial intelligence model in December, saying it took only two months and less than $6 million to create it.