US Tech Stocks Tumble as AI Spending Nears $1 Trillion, Intel Shares Drop 30%

U.S. tech shares fell sharply on Friday, with the Nasdaq opening 2.5% lower, the lowest in over two months. Intel’s stock slid up to 30% after its third‑quarter earnings report warned of a weaker PC market and a lack of positive cash flow this year, while the company plans to increase AI‑related spending. Amazon shares fell about 6% before recovering after earnings missed expectations. Alphabet’s shares dropped more than $500 bn after revealing that its AI‑generated search summaries were impacting core advertising revenue. The broader market decline reflects growing concerns that AI infrastructure costs are approaching $1 trillion, weighing on profitability for major chipmakers and cloud providers.