Jensen Huang heaped praise on the Chinese AI model that briefly upended the tech world, calling DeepSeek's R1 "a great contribution to the industry and to the world" on Monday.

Shares of tech and semiconductor companies, including Nvidia, tumbled in January following the meteoric rise of DeepSeek R1, the Chinese AI model that investors viewed as being globally competitive and cost-effective.

But Huang has good things to say about DeepSeek, which he said on Monday was "genuinely a gift to the world's AI industry."

"The amount of computer science breakthroughs is really quite significant and has really opened up a lot of great research for researchers in the United States and around the world," Huang said at the opening keynote of the Computex Taipei tech conference in Taiwan.

In January, open-source chatbot DeepSeek R1 took the world by storm, raising questions about Silicon Valley's massive spending spree on the technology.

"Everywhere I go, DeepSeek R1 has made a real impact in how people think about AI and how to think about inference and how to think about reasoning AIs," Huang said.

US AI-related shares tanked across the board in the wake of DeepSeek's rise. Nvidia's stock lost as much as $600 billion in market capitalization, hitting 20% of Huang's personal net worth at one point. The stock has recovered most of these losses and is up nearly 43% in the last year.

Huang said in February that investors got it wrong because the industry will still need computing power for post-training.

At the time, Huang said that post-training is the "most important part of intelligence" and "where you learn to solve problems."

The tech titan also seemed upbeat about DeepSeek, saying the open-sourced model created "energy around the world."