Alphabet loses $500 billion in worst-ever trading day as AI spending worries hit tech stocks

nine.com.au —

Alphabet, Google's parent company, lost over $500 billion in market value on Thursday, its worst-ever trading day, as shares fell more than 12 percent amid investor concerns about its AI spending. The sell-off followed a weak earnings report showing negative free cash flow of $9.07 billion, nearly double analyst expectations, driven by $51.4 billion in third-quarter capital expenditures. Search ad growth of 12 percent also missed forecasts as AI-generated results reduce ad volume. Despite the losses, revenue rose 25 percent to $127.6 billion, with Google Cloud more than doubling to $31 billion. Alphabet slipped to fourth most valuable company, overtaken by Microsoft, while Amazon also fell 7 percent on weak forecasts.


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