Big tech stocks lose billions as AI spending fears hit valuations

Advertisement Business Big tech stocks lose billions as AI spending fears hit valuations A specialist trader works inside a booth on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., November 19, 2025. REUTERS/Brendan McDermid 16 Feb 2026 05:38PM Bookmark Bookmark Share WhatsApp Telegram Facebook Twitter Email LinkedIn Set CNA as your preferred source on Google Add CNA as a trusted source to help Google better understand and surface our content in search results. Read a summary of this article on FAST. Get bite-sized news via a newcards interface. Give it a try. Click here to return to FAST Tap here to return to FAST FAST Feb 16 : The world's most valuable technology stocks have suffered sharp declines in market value this year after years of outsized gains, as investors question whether heavy spending on AI will generate sufficient returns to justify the lofty valuations.Microsoft shares have fallen about 17 per cent year-to-date on concerns over risks to its AI business and growing competition from Google's latest Gemini model and Anthropic's Claude Cowork AI agent, wiping roughly $613 billion off its market value to about $2.98 trillion as of Friday.Amazon has shed around 13.85 per cent so far this year, erasing about $343 billion in market value and leaving the company valued at roughly $2.13 trillion.Earlier this month, Amazon said it expects capital spending to jump more than 50 per cent this year. Subscribe to our Chief Editor’s Week in Review Our chief editor shares analysis and picks of the week's biggest news every Saturday. This service is not intended for persons residing in the E.U. By clicking subscribe, I agree to receive news updates and promotional material from Mediacorp and Mediacorp’s partners. Loading Nvidia, Apple and Alphabet have also seen their market values decline by $89.67 billion, $256.44 billion and $87.96 billion, respectively, since the start of 2026, to $4.44 trillion, $3.76 trillion and $3.7 trillion.The pullback signals a broader shift in market psychology, with investors moving from rewarding long-term AI ambitions to demanding near-term earnings visibility after years of speculative enthusiasm.By contrast, TSMC, Samsung Electronics and Walmart have added $293.89 billion, $272.88 billion and $179.17 billion in market value, respectively, over the same period, lifting their valuations to $1.58 trillion, $817 billion and $1.07 trillion. Source: Reuters Newsletter Week in Review Subscribe to our Chief Editor’s Week in Review Our chief editor shares analysis and picks of the week's biggest news every Saturday. Sign up for our newsletters Get our pick of top stories and thought-provoking articles in your inbox Subscribe here Get the CNA app Stay updated with notifications for breaking news and our best stories Download here Get WhatsApp alerts Join our channel for the top reads for the day on your preferred chat app Join here Advertisement Also worth reading Content is loading... Advertisement Expand to read the full story Get bite-sized news via a newcards interface. Give it a try. Click here to return to FAST Tap here to return to FAST FAST