Big Tech shares are stalling after $1 trillion was wiped out, and market anxiety remains. On Feb. 9, local time, Oracle and Microsoft rose 1.5 percent and 0.8 percent, respectively, but Meta and Amazon fell, CNBC reported. Alphabet and Nvidia also slipped 0.6 percent and 1 percent, respectively.
CNBC said the declines came as Big Tech companies focus on AI investment, driving a sharp increase in expected spending.
Amazon, Alphabet, Microsoft and Meta poured $120 billion into capital spending in the fourth quarter alone last year, and it is expected to reach $660 billion in 2026. That is larger than the GDP of the United Arab Emirates, Singapore and Israel.
Bank of America (BoA) analyst Justin Post said, "Management is confident in demand forecasts, but it is unclear whether facilities will be fully utilized through 2026."
Chi-gyu Hwang
delight@d-today.co.kr