Stocks tumble after AI leaders warn that the industry should slow down, tell me about this news in (https://www.nbcnews.com/business/markets/stocks-tumble-ai-leaders-warning-slowdown-ipos-amodei-altman-rcna597643)

Global financial markets and tech stocks experienced a sharp sell-off after the leaders of top artificial intelligence labs called for a deliberate slowdown in the pace of AI frontier model development.What Triggered the Sell-off

• The Warning from Anthropic: Anthropic CEO Dario Amodei released a statement calling on the AI industry to slow the rate of capability advancement. He cautioned that unchecked, rapid acceleration is becoming reckless, warning that emerging autonomous AI agents could soon present catastrophic security risksincluding the potential to hijack network infrastructure and cause hundreds of billions of dollars in systemic damage.
• Support from OpenAI and Elon Musk: OpenAI CEO Sam Altman and xAI founder Elon Musk backed Amodei’s call to “pace the frontier.” Altman agreed that labs need tighter safety controls and external auditing before releasing next-generation models. Furthermore, Altman stated that OpenAI would not pursue an IPO in 2026, citing paramount safety concerns.

Market Impact

• Chipmakers and AI Suppliers Slump: Global markets reacted immediately to the prospect of decelerated spending and deployment. Shares in major AI backers and chip suppliers tumbled, with SoftBank falling roughly 13% in Tokyo, South Korea’s chip-heavy Kospi dropping over 3%, and European semiconductor giant ASML declining over 5%. U.S. Nasdaq futures fell between 1.3% and 1.7%.
• Valuation Pressure: AI and semiconductor stocks have traded at elevated multiples based on expectations of relentless technological acceleration and massive, compounding infrastructure investments. The prospect of an intentional delay raised fears among investors that returns on hundreds of billions of dollars in data center and hardware capital expenditure could take significantly longer to materialize.
• Contrarian Skepticism: Some market observers, including investor Michael Burry, offered a skeptical view, arguing that calls from dominant incumbents to slow down could be a tactical move to protect market share against fast-rising open-source competition or to manage expectations around slowing organic capability gains ahead of future public offerings.