Wall Street just got another taste of the AI future – and it’s having mixed feelings…
After reporting third-quarter earnings last week, Alphabet (GOOGL) and Amazon (AMZN) soared on surging AI demand, while Microsoft (MSFT) and Meta (META) slipped due to ballooning capital costs. It seems traders can’t decide whether to cheer the growth or fear the bill.
Indeed, as Big Tech’s capex spending outpaces sales, we’re seeing an ‘AI overbuild’ narrative taking hold.
But if you zoom out, the same “AI ROI” debate spooking investors is what’s fueling the next leg of the boom.
This post originally appeared at InvestorPlace.