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Global artificial intelligence-linked stocks came under sharp selling pressure on Monday after leaders of major AI companies called for a more measured pace of development, citing concerns regarding the risks associated with increasingly powerful artificial systems and the potential consequences of unchecked progress.
Shares of SoftBank, which owns about 13 per cent of OpenAI, fell over 11 per cent on Monday. South Korea's benchmark index Kospi, home to major suppliers of AI chip stocks, dropped nearly 4 per cent, while Japan's Nikkei 225 index declined 1 per cent. The Nasdaq 100 futures index pointed to a 1.3 per cent lower opening for the US tech-heavy index. The sell-off followed an essay published over the weekend by Dario Amodei, chief executive of Anthropic, calling on leading AI companies to coordinate on the pace of development and prioritise safety. OpenAI chief executive Sam Altman and SpaceX founder Elon Musk expressed agreement with the broader argument. The renewed focus on AI threats also comes amid recent resignations and departures of AI researchers, adding to investor concerns about the risks surrounding the development of increasingly advanced systems. The debate has intensified as companies compete to build superintelligence while facing growing scrutiny from governments, researchers and the public. The market reaction was particularly severe among companies supplying the infrastructure for the AI boom. Kioxia, a NAND flash memory chipmaker, fell more than 6 per cent, while SK Hynix declined 5.8 per cent. Samsung Electronics dropped 3.5 per cent and Taiwan Semiconductor Manufacturing Company (TSMC), the world's largest chipmaker, lost 1.2 per cent during early hours of trading on Monday. AI infrastructure stocks had been among the strongest performers in global markets this year. Chip-led indices in South Korea and Taiwan had gained about 60 per cent so far in 2026, making them vulnerable to profit-taking and a reassessment of the sector's growth outlook. Investors across countries will remain cautious due to the growing tension between the commercial push to accelerate AI development and the need to address its safety, economic and societal risks. (ANI)
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