Global Technology Shares Plunge as Investors Question the Cost of the AI Boom

2026, October 30

United States / Japan / South Korea / International

Global financial markets experienced a significant sell-off as investors became increasingly concerned that enormous artificial-intelligence investments might not generate sufficient returns. Intel shares plunged approximately 25% following disappointing financial forecasts, Amazon fell around 6%, while Alphabet lost 12.6% of its market value in Thursday's trading, wiping approximately $500 billion from its valuation. European and Asian technology shares also declined as investors reassessed the profitability of the AI industry.

Investors moved towards safer government bonds, pushing the US 10-year Treasury yield down to approximately 4.91%, while oil prices increased by more than 2% following an attack on a tanker in the strategically important Strait of Hormuz. The combination of expensive AI infrastructure, uncertain corporate earnings and geopolitical energy risks has raised concerns about market volatility and the possibility of a broader reassessment of technology valuations.