Refile: BUZZ-Data center operators slammed as AI-linked shares tumble

Iron Mountain

27/01/2025 15:22

(Refiles to fix RIC for Iron Mountain in 4th bullet)
** Shares of data center operators, which have seen robust
demand from firms leasing space to develop AI technology,
plunging on Mon as Chinese startup DeepSeek sparks rout in
broader tech space
** DeepSeek rolled out a free model that its says uses
lower-cost chips and less data, casting doubt in the
profitability of AI
    ** Digital Realty's  DLR.N  shares down 11.5% to $159.69,
over 3-mth low on Mon, while Equinix  EQIX.O  falling 7.1% to
$874.09, lowest since early Nov
    ** DLR, EQIX and digital storage REIT Iron Mountain  IRM.N ,
off >7%, are the only S&P 500 Real Estate index  .SPLRCR 
components in the red on the session
    ** Even with moves on Mon, over the past year DLR up 12%,
EQIX up ~8% and IRM up ~50%
    ** Real estate index has advanced ~7% over the past 12
months

(Lance Tupper is a Reuters market analyst. The views expressed
are his own)
(( lance.tupper@tr.com 1-646-279-6380
))