After the close of U.S. stocks, concerns over the cost of the AI craze intensified, with Amazon and Intel's stock prices plummeting
2026-10-30 10:16:19
According to CoinMeta, and as reported by Reuters, concerns about the costs of the AI craze further intensified after the close of U.S. markets on Thursday. The financial reports of Amazon and Intel revealed that this race to build AI infrastructure is not only putting pressure on tech companies but also beginning to drag down consumers. Amazon's stock price fell by about 7% after the market closed, while Intel's tumbled by around 18%. In addition, the wave of selling quickly spread beyond these two companies. AI cloud service providers CoreWeave, Nebius, and Iren all saw their stock prices fall by about 6% to 7% after the market closed. Large tech companies are undergoing broader changes in their methods of spending and financing. The massive investments in data centers have turned what were once less indebted companies into major borrowers. Both Alphabet and Meta experienced net cash outflows in the September quarter. Microsoft is the only company in this group that has not been burning through cash, but it also launched a $25 billion bond issuance on Thursday. Tech giants are still able to maintain such levels of spending, but investors have become increasingly cautious regarding smaller AI cloud companies that have taken on heavy debt to meet a large backlog of orders.
Source:Internet
This content is for market information only and does not constitute investment advice.
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