US EditionBig Tech’s US$600 Billion Spending Plans Exacerbate Investors’ AI Headache
Big tech’s planned $600 billion AI spend in 2026 fuels investor fears of profit drops and market disruption, triggering roughly $1 trillion loss in U.S. software and data stocks.
- This week, big tech firms revealed a planned US$600-billion AI spending splurge in 2026, adding to investor unease and intensifying scrutiny on software and data firms' profitability.
- On Thursday, Google parent Alphabet increased its spending plans, while Amazon said its capital expenditure could double from a year ago, signaling heavier AI investment.
- A new plug-in from Anthropic's Claude triggered a selloff, while Microsoft shares plunged nearly 8% over five days and Apple rose 7% since Monday.
- Global shares are on track for their worst week since November as AI-exposed drawdowns spread, while analysts said some stocks have room given profitability but investors remain cautious about heavy AI spending.
- Investors fear heavy AI spending could hurt profitability and narrow market leadership, a concern tied to market moves since January 28, with Amazon's $200 billion target marking it as the biggest spender.
14 Articles
14 Articles
Times of India
The Economic TimesBig Tech's $600 billion AI spending plans add to investors' worries
Big tech's planned $600 billion AI spending surge in 2026 is fueling investor unease, impacting shares of Amazon and Alphabet. While Nvidia and Microsoft saw gains, data analytics firms like Thomson Reuters and RELX faced significant selling pressure due to existential threats from AI models.
Big Tech's $600 billion spending plans exacerbate investors' AI headache
A planned $600 billion artificial intelligence spending splurge by big tech firms in 2026 is adding to investor unease as they assess the implications for profitability as well as a potential existential threat to software firms.
Big Tech's $600b AI push fuels investor unease
A planned $600 billion artificial intelligence spending splurge by big tech firms in 2026 is adding to investor unease as they assess the implications for profitability as well as a potential existential threat to software firms. Amazon, which said its capital expenditure could double from a year ago, fell sharply in pre-market trading on Friday, while shares in other big tech companies rose and Wall Street stock futures firmed. Meanwhile, share…
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