Global AI stocks sold off sharply on Monday after Anthropic CEO Dario Amodei called for the artificial intelligence industry to slow the development of powerful models. The sell-off swept through Asia first.
South Korean chipmakers SK Hynix and Samsung Electronics closed more than 6% and 4% lower, respectively, while Japan’s SoftBank, a major OpenAI investor, tumbled 10%.
SK Hynix stock price (Source: Google Finance)
The pressure then spread to Europe, where ASML, Nokia and Infineon all fell sharply alongside data-center-linked companies including Siemens Energy and Schneider Electric.
US AI stocks were also under pressure before Monday’s opening bell. Micron fell around 5% in premarket trading, Intel dropped nearly 6% and Nvidia slipped more than 2%. Microsoft, Amazon and Alphabet were also modestly lower.
Miron stock price (Source: Google Finance)
The trigger was an escalation in the debate over AI safety. In an essay that was published Saturday titled “We Must Pace the Frontier,” Amodei said AI companies should slow the rate at which they improve model capabilities so that safety measures, alignment research and oversight have time to catch up.
Importantly, Amodei is not calling for AI development to stop. His proposal includes embedding independent third-party evaluators inside frontier AI labs, coordinating common safety standards among companies and democratic governments, and eventually seeking international coordination.
Amodei said his concerns have intensified as AI systems become more capable of helping build the next generation of AI. This is a process he described as recursive self-improvement. He also pointed to recent incidents involving autonomous AI agents behaving in unexpected or potentially dangerous ways.
AI Leaders Back Calls to Slow the Frontier
Amodei’s warning gained unusual support from rivals. OpenAI CEO Sam Altman backed the idea of pacing frontier development, while Elon Musk said “Dario is right.” Google DeepMind CEO Demis Hassabis also expressed support for stronger safeguards.
The shift is important for investors because much of the AI stock rally has been built around expectations of continued spending on chips, data centers, networking equipment and power infrastructure. Even a modest slowdown in frontier-model development could force markets to reassess how quickly those investments translate into revenue.
OpenAI added to the caution over the weekend when Altman said the company would not pursue an IPO in 2026 due to heightened AI safety concerns. Meanwhile, President Donald Trump rejected calls to slow US AI development by arguing that America must maintain its lead over China.
For markets, this leaves a new risk hanging over the AI trade. Until now, investors have largely worried about whether companies are spending too much on AI. They may now also have to price in the possibility that the industry itself decides it needs to spend more slowly.
