Chinese artificial intelligence stocks experienced a significant rally on Thursday, driven by new model releases and strong government encouragement for wider AI adoption. Companies like Zhipu AI saw their shares jump 30% after launching the GLM-5 open-source language model, while MiniMax climbed 14% with its M2.5 model. DeepSeek also upgraded its flagship model, and Ant Group unveiled Ming-Flash-Omni 2.0, a new multimodal offering. This surge highlights a trend in China towards developing powerful, low-cost AI models, a strategy DeepSeek pioneered, and includes ByteDance's new Seedance 2.0 AI video generator, which quickly gained popularity and even caught Elon Musk's attention for its ability to create professional videos from various inputs.
Meanwhile, Nvidia's stock increased by 0.8% on Thursday as it approached its February 25 earnings report, with analysts anticipating $1.49 per share on $65.58 billion in revenue. This occurred even as other major tech firms like Meta and Microsoft faced some difficulties. A US lawmaker, Ro Khanna, suggested allowing sales of older Nvidia chips to China. The broader market shows signs of shifting, with investors moving beyond big technology companies into more stable value and cyclical stocks, indicating a potential slowdown in the tech sector's market leadership despite strong earnings from major players.
Google is intensifying its AI efforts, with Demis Hassabis, head of Google Gemini, revealing active involvement from founders Larry Page and Sergey Brin in programming and strategy. This renewed focus follows the merger of Google Brain and DeepMind research teams, which Hassabis now leads. The release of Gemini 3 and the "Nano Banana" image model contributed to Alphabet's shares jumping 65% by late 2025, as Google aims to disrupt its own business and foster a future of "radical abundance" through AI.
In other AI developments, Microsoft plans to showcase its AI security solutions, including "agentic security" and Agent 365, at the RSAC Conference 2026 in San Francisco from March 22-26. Accio, an AI-powered search engine backed by Alibaba, is helping businesses automate supplier sourcing by handling about 70% of the workflow. Legal AI company Harvey, valued at $11 billion, will open a new office in Dallas, Texas, in April 2026, expanding its reach to top law firms and in-house legal teams. Additionally, Montgomery County Public Schools will pilot an AI security system in three high schools next month to detect emergencies without using facial recognition or collecting personal data. A project called "On The Docket" is also using AI to create videos of US Supreme Court justices reading decisions, aiming to make the court more accessible.
From an investment perspective, research firm Citrini Research suggests that the most strategic AI investment currently lies in raw materials, specifically "molecules and powders" within the AI supply chain. This advice comes as AI continues to disrupt various industries, including real-estate services, and encourages investors to focus on fundamental components rather than solely on software companies' market leadership.
Key Takeaways
- Chinese AI stocks, including Zhipu AI and MiniMax, rallied significantly on Thursday due to new model releases and government support, with Zhipu AI's GLM-5 model causing a 30% stock jump.
- Nvidia's stock rose 0.8% ahead of its February 25 earnings report, with analysts expecting $1.49 per share on $65.58 billion in revenue, while a US lawmaker suggested allowing older Nvidia chip sales to China.
- ByteDance launched Seedance 2.0, an AI video generator that quickly gained popularity in China and caught Elon Musk's attention for its ability to create professional videos.
- Google founders Larry Page and Sergey Brin are actively involved in Google's AI strategy and programming, with Demis Hassabis leading the merged Google Brain and DeepMind teams.
- Alphabet's shares jumped 65% by late 2025 following the release of Google's Gemini 3 and "Nano Banana" image model.
- Microsoft will highlight its AI security solutions, including "agentic security" and Agent 365, at the RSAC Conference 2026 in San Francisco from March 22-26.
- Accio, an AI-powered search engine backed by Alibaba, automates approximately 70% of the supplier sourcing workflow for businesses.
- Legal AI company Harvey, valued at $11 billion, will open a new office in Dallas, Texas, in April 2026, expanding its operations.
- Montgomery County Public Schools will pilot an AI security system in three high schools to detect weapons and emergencies without using facial recognition or collecting personal data.
- Citrini Research advises that the most strategic AI investment currently is in raw materials, specifically "molecules and powders," within the AI supply chain.
Chinese AI Stocks Soar on New Models and Government Support
Chinese artificial intelligence stocks rose sharply on Thursday. This happened after companies like Zhipu AI and MiniMax released upgraded AI models. Zhipu AI, also known as Knowledge Atlas Technology, saw its stock jump 30% after launching its GLM-5 open-source language model. MiniMax also saw an 11% increase. Senior government officials also called for wider use of AI technology, further boosting the market.
Nvidia Stock Rises as Chinese AI Firms Launch New Models
Nvidia stock increased by 0.8% on Thursday, testing its recent high before its earnings report on February 25. This rise occurred even as other major AI companies like Meta and Microsoft faced difficulties. Meanwhile, Chinese AI stocks saw strong gains, with Zhipu AI surging 30% after releasing its GLM-5 model and MiniMax jumping 14% with its M2.5 model. A US lawmaker, Ro Khanna, also suggested allowing sales of older Nvidia chips to China. Investors are now watching Nvidia's upcoming earnings, with analysts expecting $1.49 per share on $65.58 billion in revenue.
China AI Stocks Soar with New Models and Government Support
Chinese artificial intelligence stocks rallied on Thursday due to new model releases and strong government support. Zhipu AI's shares jumped 30% after it launched GLM-5, an open-source large-language model with improved coding. MiniMax climbed 14% with its updated M2.5 model, and DeepSeek also upgraded its flagship model. Ant Group unveiled Ming-Flash-Omni 2.0, a new multimodal model. Premier Li Qiang encouraged widespread AI use, boosting investor confidence. This rally happened even as larger tech firms like Tencent and Alibaba saw their shares fall.
China Prepares for Many New Low Cost AI Models
One year after DeepSeek surprised the tech world with its affordable AI model, Chinese companies are ready to launch many new low-cost AI models. DeepSeek's models have been much cheaper than US options, showing that strong AI can be built without huge spending. ByteDance just released Seedance 2.0, an AI video generator, and plans to update its popular Doubao chatbot. Other companies like DeepSeek and Alibaba's Qwen are also expected to release new models soon. This trend emphasizes open-source access, strong AI abilities, and low costs, which is now common for Chinese AI developers.
ByteDance New AI Video Model Seedance 2.0 Goes Viral
ByteDance's new AI video model, Seedance 2.0, has quickly become very popular in China and even caught Elon Musk's attention. Launched on Thursday, this model can create professional videos for film, e-commerce, and advertising by processing text, images, audio, and video at the same time. This greatly lowers content creation costs. Many people on Chinese social media are comparing its rapid success to DeepSeek's earlier breakthrough. Videos generated by Seedance 2.0, like one showing Kanye West and Kim Kardashian in an Imperial China drama, have been viewed millions of times.
AI Project Creates Visuals for Supreme Court Decisions
A new project called "On The Docket" is using artificial intelligence to create videos of US Supreme Court justices reading their decisions. This project aims to make the court more accessible to the public. Northwestern University professor Jerry Goldman, who started the Oyez project in 1996 for court audio, leads this effort. While the court began live audio broadcasts in 2020, announcements of decisions are still not available to the public on the same day. Goldman's team, with help from University of Minnesota professor Timothy R. Johnson and Spooler, uses existing photos and videos to create realistic AI avatars of the justices.
Microsoft Highlights AI Security at RSAC 2026 Conference
Microsoft will showcase its AI security solutions at the RSAC Conference 2026 in San Francisco from March 22-26. The event will focus on how AI is changing cyber threats and how "agentic security" can help. Microsoft Pre-Day on March 22 will feature a keynote by Vasu Jakkal, CVP of Microsoft Security Business, discussing agentic defense and solutions like Agent 365. The conference includes special events for CISOs, such as a dinner and sessions on AI security and governance. Vasu Jakkal will also deliver a keynote on March 23, and other sessions will cover securing autonomous AI agents.
Accio AI Tool Helps Businesses Find Suppliers
Accio is a new AI-powered search engine and "commerce assistant" designed to help businesses find suppliers. It aims to automate the entire process of sourcing, not just the search itself. Backed by Alibaba's large technology and data, Accio tackles common problems like verifying suppliers, dealing with old information, and manual tasks. The "Accio Agent" acts as an active research assistant, claiming it can handle about 70% of the sourcing workflow. This tool seeks to free purchasing managers from time-consuming manual work.
Legal AI Company Harvey Expands to Dallas
Harvey, a legal artificial intelligence company valued at $11 billion, will open a new office in Dallas, Texas, in April 2026. The four-year-old startup is already used by top law firms like Vinson & Elkins and Haynes Boone, as well as in-house legal teams. John Haddock, Harvey's Chief Business Officer, stated that being closer to customers is important for deeper partnerships. Founded in 2022 by Winston Weinberg and Gabriel Pereyra, Harvey has raised over $1 billion from investors. The company, which has over 500 employees and offices worldwide, sees Texas as a huge opportunity due to its many businesses.
Montgomery County Schools Pilot AI Security System
Montgomery County Public Schools will start a 30-day pilot program next month using artificial intelligence for security in three high schools. This technology can detect weapons, fights, large crowds, and medical emergencies, then alert school security staff. Officials confirm the system does not use facial recognition, collect personal data, or record audio. Seneca Valley High School, the state's largest, is one of the chosen schools. Chief Safety Officer Marcus Jones said the pilot aims to improve prevention and detection. School leaders held a meeting to address parent concerns, assuring them that footage will not be shared with federal agencies like ICE.
Research Firm Says AI Investment Should Target Raw Materials
Citrini Research, a firm known for spotting early trends, suggests that the smartest investment in artificial intelligence right now is in raw materials. They believe investors should look at "molecules and powders" within the AI supply chain. This advice comes as AI disruption continues to affect various industries, including real-estate services. The firm recommends focusing on these fundamental components rather than trying to predict which software companies will maintain their market lead.
Google Founders Help Gemini Boss Win AI Future
Demis Hassabis, head of Google Gemini, shared how founders Larry Page and Sergey Brin are actively helping Google win the AI race. Sergey Brin is involved in programming, while Larry Page focuses on strategy, bringing a new energy to the company. This comes after Google merged its Google Brain and DeepMind research teams, which Hassabis now leads, to combine talent and computing power. Hassabis believes Google's technology forms the base for 90% of today's AI industry. After releasing Gemini 3 and the "Nano Banana" image model, Alphabet's shares jumped 65% by late 2025. Google aims to disrupt its own business to stay ahead and envisions a future of "radical abundance" through AI.
Tech Stocks May Slow as Market Rally Expands
The stock market's recent growth is now spreading beyond just big technology companies. Investors are starting to move their money into more stable "value" and "cyclical" stocks. This shift is happening because some investors are becoming less sure about the long-term excitement around artificial intelligence. While major tech companies still report good earnings, their growth might not be enough to keep them ahead as other parts of the market become more popular. This means tech stocks might not lead the market as much as they have been.
Sources
- Chinese AI stocks surge as model upgrades, policy support lift Zhipu AI 30% and MiniMax 11%
- Why Nvidia stock is up around 1% while other AI giants struggle
- China AI stocks surge as new models launch and policy push fuels rally
- A year on from DeepSeek shock, get set for flurry of low-cost Chinese AI models
- ByteDance's new AI video model goes viral as China looks for second DeepSeek moment
- AI brings Supreme Court decisions to life
- Your complete guide to Microsoft experiences at RSAC™ 2026 Conference
- Análise da Accio 2026: O mecanismo de busca B2B para fornecedores
- Legal AI company Harvey is opening a Dallas office
- AI security pilot coming to three Montgomery County High Schools
- The smartest AI trade right now is in molecules and powders, says the research firm known for nailing trends early
- Google Gemini boss describes working with founders Larry Page and Sergey Brin to win the AI future
- Why Tech Stocks May Lag as the Market Rally Broadens Beyond AI
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