Christophe Fouquet, CEO of ASML, shared his perspective on the growing influence of AI technologies, such as China’s DeepSeek, on the global chip market. He emphasized that efficient AI models are ultimately a positive force for the semiconductor industry, countering the perception that AI spending is primarily driven by large-scale investments from tech giants like Google, Meta, and Microsoft. These companies are pouring billions into building advanced data centers, but according to Fouquet, the actual demand for chips driven by this sector remains relatively small.
Fouquet argued that the broader chip demand will come from the integration of AI into various consumer and industrial applications. He highlighted examples, such as AI-enabled phones, cars, and robotics, noting that for these products to reach mass adoption, the cost of the chips must be affordable. If the cost of chips remains high, only a small number of expensive units would be sold, limiting widespread access to AI technology.
When discussing the recent launch of DeepSeek’s AI product, which had a significant impact on tech stock prices, Fouquet remained optimistic, stating that anything that helps drive down costs is beneficial for ASML in the long run. While the potential of DeepSeek’s technology remains uncertain, he believes that cost reduction is key to enabling AI to be more accessible to a wider audience.
Analyst Sara Russo from Bernstein agreed with Fouquet’s viewpoint but noted that the effects of DeepSeek’s launch are still unfolding. She pointed out that ASML’s role as a supplier will depend on how AI applications evolve and influence chip demand, as well as the needs of chip manufacturers.