AM Markets Need to Know: DeepSeek backs Huawei chips, Anthropic IPO risks, and more

Stock index futures were higher on Wednesday as the recent rally in Treasury yields looked to take a breather, while traders turned their focus to several key economic reports.

Here are the five news items investors should watch:

DeepSeek backs Huawei chips: DeepSeek (DEEPSEEK) has released software developed with Huawei Technologies for programming the Chinese company's Ascend AI accelerators. The toolkit, including TileLang, is being offered as open-source software, underscoring efforts to build alternatives to Nvidia's CUDA ecosystem and support Huawei's push against Nvidia (NVDA).

Anthropic's IPO shows big tech reliance: Anthropic (ANTHRO) routed 47% of its 2025 sales through Amazon (AMZN) and Google (GOOG) (GOOGL), according to Reuters. Those channels generated $2.16B in sales, while Anthropic paid about $351M in distribution fees, highlighting its growing reliance on major cloud partners.

Burry criticizes planned AI IPOs: Michael Burry criticized planned listings by Anthropic (ANTHRO) and OpenAI (OPENAI), arguing on X that the offerings could expose markets to substantial capital losses. His comments came as President Donald Trump hosted AI executives at the White House, keeping attention on capital requirements and valuations across the sector.

Big Tech signs AI commitment: CEOs including Sundar Pichai, Dario Amodei, Mark Zuckerberg, Greg Brockman, and Elon Musk signed Trump's Joint Commitment on Frontier Responsibility. The agreement calls for responsible training and development of frontier AI models, involving Google (GOOG) (GOOGL), Anthropic (ANTHRO), Meta (META), OpenAI (OPENAI), and SpaceXAI (SPCX).

Lawmakers challenge $33B AES deal: U.S. lawmakers asked federal energy regulators to reject the proposed $33.4B acquisition of AES (AES), according to Reuters. The lawmakers cited potential effects on electricity bills and data center demand, adding scrutiny to a deal involving BlackRock's (BLK) Global Infrastructure Partners, EQT, and other investors.