Big Tech companies like Amazon, Google, Meta, and Microsoft are facing investor backlash over massive AI-related capital expenditures, with shares falling as profitability remains elusive. The hyperscalers plan to invest over $720 billion this year in data centers and AI infrastructure, raising concerns about whether the AI rally can sustain such spending. Meanwhile, the $6.3 billion Binance crypto theft highlights ongoing risks in digital assets.
In other news, central banks including the Fed, ECB, and Bank of Japan are holding rates steady, signaling potential future hikes. Intel shares plunged 25% after warning of weak PC demand and supply chain issues affecting AI chip production. Bayer won a key Roundup lawsuit, marking a turning point in its legal battles.
Source: New York Times Business · Summarized by HeadlinesBriefing