During the release of the DeepSeek-V3.1 model, the official statement from DeepSeek mentioned that the UE8M0 FP8 precision format is “designed for the upcoming next-generation domestic chips.” This statement was interpreted by the market as a significant breakthrough in the underlying technology of domestic AI chips, leading to an optimistic sentiment in the capital market regarding the domestic chip sector, resulting in a surge in related stocks. 🔍 Market Response Overview Below is a summary table of the market performance of major chip companies on August 22, 2025: Company Name Stock Code Daily Increase (Approx.) Remarks Cambricon 688256 20% (Limit Up) Market value once exceeded 500 billion yuan, stock price approached 1200 yuan Haiguang Information 688041 20% (Limit Up) SMIC 688981 Over 10% Shengmei Shanghai 688082 20% (Limit Up) Sci-Tech Innovation Chip ETF 588200 Increased by 11.92% Tracking the Sci-Tech Innovation Board Chip Index 💡 Why Does a Single Statement Have Such Power? The significant market reaction to a single statement is primarily due to the deep signals and expectations it contains: 1. Expectation of Technological Breakthrough: FP8 (8-bit floating point) is an emerging data format used for deep learning training and inference, which can significantly reduce memory usage and computational resource requirements. DeepSeek clearly states that the UE8M0 FP8 is designed for the next generation of domestic chips, implying that domestic AI chips have made progress in supporting more advanced and efficient computing precision, narrowing the performance gap with international giants (such as NVIDIA). 2. The Emergence of a Software-Hardware Collaborative Ecosystem: The market expects DeepSeek, as a leading AI large model provider, to deeply bind its technological path with domestic chip manufacturers (such as Huawei Ascend, Cambricon, and Muxi), forming a software-hardware collaborative ecosystem similar to the past “Wintel Alliance.” This helps break the dependence on foreign computing power and promotes the autonomy of domestic computing power. 3. Strengthening the Logic of Domestic Substitution: In the current context of uncertainty in the international supply chain, the domestic substitution of AI computing power has become a clear trend. Tencent also stated in a previous earnings call that “the supply channels for inference chips have various options,” which the market interpreted as recognition of domestic inference chips. DeepSeek’s statement further reinforces the expectation that domestic chips will occupy an important position in future AI infrastructure. 4. Resonance of Sentiment and Capital: The chip sector itself is in a period of semiconductor cycle recovery and technological upgrade, making market sentiment quite sensitive. Such significant positive information can easily become a catalyst for igniting market trends, attracting capital to flow in quickly. ⚠️ Rational Perspective on Market Fluctuations It is important to note that the market’s short-term reactions are often based on expectations and emotions. Although DeepSeek’s statement holds great imaginative potential, the specific performance, mass production timeline, and ultimate market competitiveness of the next-generation domestic chips still need to await detailed official releases and market validation. Investing in such high-growth but also highly volatile technology sectors requires attention to the company’s technological strength, ecosystem building capabilities, and the eventual realization of performance.