Alphabet Selloff and AI Capex Pressures Drag Down Tech Equities

Alphabet experienced a historic 12% single-day stock decline following earnings that revealed rising AI-related capital expenditures and slowing core search growth. The selloff weighed heavily on broader technology equities, raising concerns that massive infrastructure spending is pressuring cash flow. Investors remain wary that the financial drag of artificial intelligence investments may overshadow near-term operational gains.