3 AI Stocks to Watch as DeepSeek Faces Hurdles in Germany

AI stocks are back in the spotlight as Germany raises concerns over a Chinese app. This latest development is pushing many investors to reconsider their stock options.

Notably, with DeepSeek under scrutiny for potential data risks, market participants’ attention has shifted to more established companies with a proven track record of better compliance and stronger infrastructure.

DeepSeek Faces Regulatory Pushback in Germany

Chinese technology firm DeepSeek is facing strong resistance in Germany over its handling of user data.

According to a Bloomberg report, Berlin’s data protection commissioner, Meike Kamp, recently highlighted the situation.

He flagged the company’s app for potentially exposing user information to Chinese authorities.

The Hangzhou-based firm, which made headlines in January for its cost-effective R1 model, has failed to meet Germany’s request to either pull the app or improve its privacy standards.

Although no fines have been imposed, the warning comes under the EU’s Digital Services Act.

According to the update, the authorities have now requested that Apple and Google review DeepSeek’s presence in their app stores.

Germany’s decision not to pursue a fine was due to enforcement limits across borders.

However, the message is very loud and clear. Companies that do not meet European data standards are no longer welcome.

This case has sparked discussions around global security risks. It is driving more talks, especially in the tech world.

This is because several instances of fraud and data misuse have become increasingly common in the digital landscape.

For investors, it serves as yet another reminder that privacy matters, and companies that fall short may lose both public trust and market value.

AI Stocks Regain Momentum Amid Privacy Concerns

While DeepSeek struggles, three AI stocks are gaining renewed interest from investors.

Amazon, Microsoft, and Nvidia have shown strong performance over the past two weeks. This reflects growing confidence in their business models and data protection frameworks.

It is worth noting that Amazon’s share price moved from $211.86 on June 13 to $219.93 in early trading on June 27.

Its market value now stands at $2.305 trillion as investors continue to back Amazon due to steady growth in its cloud services.

This growth is increasingly tied to automation tools and secure data handling.

Microsoft also had a positive month, with its stock climbing from $474.18 to $497.98. From this market boost, its market capitalization is now pegged at $3.55 trillion.

Also, analysts attribute the gain to recent updates in Microsoft’s productivity tools and improvements in server technology.

No doubt, both companies have gained favor with investors because they consistently follow regulations and offer dependable services.

This has made them a top pick, especially now that global tensions are causing people to lose trust in smaller, less familiar tech firms.

Nvidia Could Outperform with Strong Crypto and Tech Demand

Although not a direct provider of cloud-based platforms, Nvidia remains a prominent name in discussions surrounding AI stocks.

Its graphics processing chips power both tech tools and cryptocurrency mining, giving it a unique advantage.

It is noteworthy that from June 13 to June 27, Nvidia’s stock surged from $141.80 to $157.90, up 1.85% as of writing.

The company’s market cap now stands at $3.781 trillion, even briefly overtaking Microsoft.

Still, much of the recent attention followed comments from CEO Jensen Huang, who highlighted Nvidia’s role in robotics and data systems during a shareholder meeting.

Despite recent revenue losses linked to U.S. restrictions on chip exports to China, Nvidia has retained investor confidence.

The company’s dual presence in both traditional tech and cryptocurrency makes it a strong candidate to lead in the next phase of digital growth.

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