However, one of the most critical machine providers in the chip manufacturing business is even more bullish on the industry after DeepSeek's R1 launch. This CEO is Christophe Fouquet, head of ASML ( ASML 0.05%), and his company may be the most critical in the chip value chain.

Computer chip equipment maker ASML's CEO on Wednesday made the case that the advent of efficient AI models such as one China's DeepSeek has launched is a net positive for chip markets.

Europe's largest chip supplier ASML views the emergence of China's DeepSeek as a positive, despite initial market jitters. CEO Christophe Fouquet highlights the benefits of cost-efficient AI models, emphasizing the broader potential for AI-related chip demand across various applications,

ASML stock rose 4.3% Wednesday after the Dutch semiconductor equipment company posted better than expected fourth quarter earnings and its CEO dismissed concerns over DeepSeek AI.