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 data centers, which helped its quarterly cash flow turn positive. Tesla reported profits below estimates and plans a "massive capex year" in 2026 to boost AI and robotics, including autonomous vehicles and robotaxis. Despite the sell-off, analysts view the AI infrastructure investments as a long-term growth theme, though investors remain cautious about the returns on these expenditures amid global economic uncertainty and geopolitical tensions.
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 spread...
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...
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...
President Donald Trump announced a trade investigation into the European Union following the EU's $1 billion fine on Google for allegedly prioritizing its own services. The probe aims to cancel these hefty fines against US tech giants and could lead ...
