On Feb. 6, securities firms analyzed the recent decline in semiconductor and AI-related stocks, triggered by the so-called “DeepSeek shock,” as a potential buying opportunity. This analysis comes amidst market concerns about the impact of DeepSeek, a new technology that is reshaping the AI industry landscape.

Kim Dong-won, a well-known technology analyst at KB Securities, offered a contrarian view, stating, “The emergence of DeepSeek is actually positive for the AI industry, contrary to market concerns.” He elaborated that the diversification of the AI market from high-priced GPUs and memory to customized AI chips and affordable memory signifies an expansion of the AI market. This shift is expected to make AI technology more accessible and cost-effective, broadening its application and appeal.

The fluctuations in stock prices due to the DeepSeek shock are seen as a buying opportunity for major players like Samsung Electronics and SK Hynix. Kim noted, “SK Hynix is expected to differentiate its performance with the full-scale shipment of HBM3E 12-layer from the second quarter of this year.” This advancement in high bandwidth memory technology is crucial for high-performance computing and AI applications. Meanwhile, Samsung Electronics is poised to supply customized AI chips and memory efficiently, having secured the necessary manufacturing facilities to meet customer demands.

Park Sang-hyun, a researcher at Hanwha Investment & Securities, highlighted another aspect of DeepSeek’s impact, stating, “It seems clear that AI model development costs will decrease due to the optimization techniques presented by DeepSeek.” This reduction in costs is anticipated to create a virtuous cycle, leading to lower generative AI API prices, increased AI traffic, and a boost in AI infrastructure investment. Park further predicted that the U.S. would likely accelerate its infrastructure investment in response to these developments.

Among domestic stocks, Isu Petasys and Samsung Electro-Mechanics are expected to benefit from the changes brought by DeepSeek. These companies are well-positioned to capitalize on the increased demand for AI infrastructure components.

The introduction of DeepSeek technology, with its optimization techniques, is poised to reduce AI model development costs, thereby influencing market dynamics and investment strategies.