AI spending boom
Coverage of AI spending boom in the Nexus archive.
- US tech groups cut 140,000 jobs despite AI spending boom
US tech groups have cut 140,000 jobs despite an AI spending boom. An investment spree is reshaping Silicon Valley, while the broader US jobs market remains stable.
- IBM shares plunge 25% as AI spending boom hammers business: ‘Ugly moment for software stocks’
IBM shares fell 25% as the AI spending boom negatively impacted the business, described as an 'ugly moment for software stocks.' The company is shifting focus from its cyclical mainframe business to its software unit, including the high-margin Red Hat business, which supports cross-cloud application management.
- Chip stocks fall after extended rally
US chip stocks declined as concerns grew about the sustainability of AI spending, affecting companies like Broadcom and Micron Technology. Meanwhile, some AI ecosystem firms saw gains after Nvidia CEO Jensen Huang publicly praised them, echoing the 'Trump bump' effect.