I remember something like that happening. Someone optimzed something and boom, one billion of valuation gone. It seems ridiculous on the surface, and definitely smells of a bubble to me.
That's happening to the automobile market in China. Electric car and battery manufacturing costs go down with scale. Way down. Huge electric car glut in China. Car prices crashing. Government worried.[1]
Profit margin of China car companies is down to around 4%.
Profit margin of China car companies is down to around 4%.
[1] https://www.cnn.com/2025/09/26/cars/chinese-electric-cars-pr...