Intel shares suffer record 30% plunge as AI spending fears trigger tech sell-off
Intel suffered its worst-ever stock market plunge on Friday, falling over 30% after warning of a slowdown in PC sales, triggering a broader tech rout on Wall Street. The chip maker blamed weak fourth-quarter forecasts on AI data centres' insatiable demand for microprocessors, which has raised computer prices and caused component shortages. Amazon fell 5.9% after revealing $77.3bn capital spending, with combined losses of about $300bn in market value. The Nasdaq sank 2.7%, while Alphabet lost $500bn on Thursday. Concerns grow that historic AI spending—projected at $1.2tn by Goldman Sachs—may not translate into meaningful revenues, with sentiment also damaged by a $6.3bn Binance hack and rising oil prices above $117 a barrel.