The CEO of Dutch chipmaking giant ASML warned investors they needed to get used to more DeepSeek-style “elephants in the room” as he projected optimism days after China’s surprise AI chatbot caused turmoil for Western tech stocks.

The artificial intelligence boom is a two-edged sword for $290 billion ASML . Shares in the Dutch maker of lithograph machines used to make chips soared by 8% on Wednesday thanks to booming demand from semiconductor manufacturers such as TSMC .

Without addressing the specifics of DeepSeek’s model, ASML CEO Christophe Fouquet told CNBC he sees no sign of a slowdown in demand for AI chips.

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ASML stock rose nearly 6% premarket after the Dutch semiconductor equipment company posted better than expected fourth quarter earnings and its CEO dismissed concerns over DeepSeek AI.

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ASML's shares rose by more than 7% today and were up by 4.1% as of 11:03 a.m. ET.

The company posted orders well above analysts’ expectations for the fourth quarter as chip makers scrambled to get their hands on machinery to produce increasingly sophisticated semiconductors.

ASML chief executive says lower-cost AI models will boost chip demand. He doesn't see DeepSeek as a threat for AI hyperscalers either.

Investors will seek reassurance that ASML's AI-dependent growth outlook for 2025 is secure despite a selloff sparked by China's DeepSeek, as the biggest supplier of equipment used to make computer chips ASML reports earnings on Wednesday.

CEO Christophe Fouquet said the news of DeepSeek developing a large language model more efficiently should not affect chip equipment manufacturers. Read more here.