Tencent shares have tumbled roughly 30% this year as investors punish Chinese internet companies amid AI uncertainty, according to Morningstar analyst Ivan Su. Despite concerns over elevated AI spending and lagging products, Su argues the selloff appears overdone since AI has already boosted Tencent's core businesses. The stock closed 2.3% higher at HK$429.80.

South Korean internet platform Naver is positioned for strong second-quarter results, with analysts projecting 16% revenue growth and 13% operating profit gains. Daiwa Capital notes the company's commerce business and advertising segments are benefiting from AI tool rollouts, prompting upgraded earnings forecasts for 2026-2028.

Moody's challenges prevailing narratives about AI-driven job losses in software, citing Bureau of Labor Statistics data showing 15% employment growth since 2019 versus 5% across the private sector. The firm found no clear evidence of widespread layoffs after analyzing earnings calls from 700 software companies.

These divergent stories illustrate how AI is reshaping valuations and employment patterns across global tech sectors, with investors weighing growth potential against execution risks.