Yields on bonds climbed this week after Alphabet increased its capital expenditure forecast for AI development, sparking fears that other major tech companies like Amazon and Meta will follow. Fixed-income investors are demanding higher credit spreads to compensate for the rising costs associated with AI buildouts, including expensive data centers and energy costs amid inflation and geopolitical tensions. Oracle's 5-year credit default swap hit a multi-year high, reflecting broader market anxiety about AI-related debt. These developments may affect how hyperscalers finance future projects, with some deals expected to carry higher borrowing costs, signaling investor caution about returns on AI investments.
Waymo and Uber's exclusive partnership for robotaxi rides in Austin and Atlanta will end in early 2028, as Waymo plans to launch its own app in these cities. This change reflects Waymo's growing presence in the robotaxi market across multiple U.S. ci...
President Donald Trump defended the Department of Justice's subpoenas issued to New York Times reporters and Google amid a criminal investigation into leaks about the president's new Air Force One plane. The DOJ withdrew demands for grand jury testim...
Alphabet Inc. reported strong second-quarter results, notably with Google Cloud's profit growth exceeding 200%. Despite this, the market reacted negatively, causing shares to fall, which the analyst views as an irrational response and a buying opport...
Shares of major tech companies, including Alphabet and Tesla, dropped sharply after both announced increased capital expenditures focused on AI infrastructure. Alphabet plans to spend $200 billion this year, up from $190 billion, aiming to enhance AI...
Leading AI-focused tech giants like Alphabet, Meta, Amazon, Oracle, and Microsoft have seen their stock prices decline since April 2023, with Oracle dropping over 31%. The main reason is soaring capital expenditure (capex) on AI development, which is...
