Tech Stocks Slump as Weak Earnings from Amazon, Intel and Alphabet Fuel AI Spending Concerns

US tech stocks fell sharply on Friday, with Nasdaq Composite futures down about 2.7% before the opening bell. The slide followed disappointing earnings from Alphabet, Amazon and Intel that renewed doubts about whether heavy AI spending will pay off. Intel shares fell as much as about 30% in early trading after its finance chief said the company did not expect to bring in more cash than it spent this year. Alphabet had dropped more than 12% on Thursday, and its value had fallen by more than $500 billion after it said its AI summaries were hurting core search advertising revenue. Investors are also worried about the debt companies are taking on to fund data centers. The Nasdaq opened at its lowest level in more than two months, down 2.5%.

Left-leaning CBS News led with the broader Nasdaq drop and quoted analyst Adam Crisafulli calling it one of the worst tech earnings seasons in memory, and it cited UBS advice to diversify beyond AI. The New York Times framed the day as tech weakness pressuring the wider market over AI infrastructure spending. Right-leaning New York Post centered on individual companies, detailing Amazon's revenue and negative free cash flow, its reaffirmed $220 billion capex forecast, and Intel's 29% plunge despite higher revenue, which it tied to a struggling PC division. Its headline says the Nasdaq fell 3%, while its text says 2%. Both sides attribute the selloff to AI spending doubts, but the right stresses company financials and the left stresses market effects and analyst views. Alternative BBC News led with AI build-out costs nearing $1 trillion and uniquely reported Alphabet's search revenue problem and Intel's expected loss of more than $130 billion in value.