The Financial Post reports in its Friday edition that memory-chip stocks extended their losses on Thursday after Alphabet's Google publicized research on a new algorithm that could allow more efficient use of the storage needed for artificial intelligence development. A Bloomberg dispatch to the Post says Samsung and SK Hynix, South Korean leaders in the market, both fell at least 6 per cent in Seoul. In the United States, Western Digital and Sandisk both slid at least 5 per cent, after they closed lower on Wednesday. Memory chip companies had been on a tear in recent months as surging investment in AI infrastructure led to shortages, triggering a spike in chip prices and profit. Google's new technology could alleviate the supply crunch, potentially pushing down prices. The company publicized the research on X this week, although it had originally come out last year. Google said its Turboquant algorithm can cut the amount of memory required to run large language models by at least a factor of six, reducing the overall cost of training AI. Investors may harbour concerns that could reduce the hyperscalers' need for memory, pushing down the prices for components that are also used in smart phones and consumer electronics.