Zhipu AI Shares Rebound After Compute Shortage Concerns Trigger Drop, Reports

Zhipu AI’s shares have recovered most of the loss incurred after investors flagged a potential compute shortage, climbing back up on the Shenzhen Stock Exchange according to a report from Investing.com India. The rebound follows a brief sell‑off that saw the stock dip more than 10% in a single session, a move analysts linked to concerns that the Chinese firm might struggle to secure the high‑performance GPUs needed for its next‑generation large language models (LLMs). By the close of trading, the stock had regained roughly 6% of the decline, suggesting that the market is reassessing the severity of the supply‑chain bottleneck (Investing.com India).

The compute‑shortage narrative emerged amid a broader wave of open‑source AI releases from Chinese tech giants. Alibaba’s Qwen group unveiled two compact multimodal models under the Qwen3 banner, positioning themselves as lightweight alternatives to heavyweight proprietary offerings (The Decoder). Simultaneously, Zhipu AI announced the open‑source release of its GLM‑5 model under an MIT license, claiming performance parity with leading Western LLMs (The Decoder). The timing of these releases indicates that Zhipu is actively expanding its model portfolio despite the hardware constraints that sparked the earlier market jitters. By making GLM‑5 publicly available, Zhipu may be seeking to offset compute‑related risks with community‑driven optimization and broader adoption.

Industry observers note that the open‑source race in China is intensifying, with Alibaba and Zhipu jointly rolling out new AI models as part of a coordinated push to capture market share from both domestic and international competitors (South China Morning Post). The collaboration underscores a strategic shift: rather than relying solely on proprietary compute clusters, Chinese firms are leveraging open‑source ecosystems to accelerate development and mitigate hardware shortages. While the short‑term compute crunch remains a concern, the recent share rebound suggests investors are gaining confidence that Zhipu’s open‑source strategy and its partnership with larger players like Alibaba can sustain its growth trajectory.