Alphabet Says AI Slows Search-Ad Growth
Alphabet said AI Mode slowed search-ad growth as weak Amazon and Intel results added pressure.
Mostly Center
· 25 outletsSummary
Updated Oct 30, 5:36pm ETAlphabet said its AI Mode search feature was contributing to slower search-ad revenue growth. Weak Amazon results and Intel guidance added pressure to technology shares Friday, sending the Nasdaq down about 2.9% by the close. The sell-off reflects investor concern that costly AI infrastructure may not pay off fast enough, while core businesses that fund that spending slow. Alphabet shares fell about 12.6% Thursday, erasing more than $500 billion in market value. Its revenue rose 25% to $127.6 billion, but profit fell as AI investment weighed on cash flow. Amazon chief executive Andy JassyAndy JassyAmerican businessman defended his company’s spending plan. Alphabet plans about $195 billion in capital spending this year.
Left and right
From the left
Left-leaning outlets framed the drop as a test of whether AI spending can justify rich tech valuations, while stressing that the damage may stay concentrated. CNN focused on doubts that massive AI outlays will deliver returns fast enough, while saying bond investors matter more than stock swings. The New York Times emphasized money rotating into other sectors instead of leaving stocks.
From the right
Right-leaning outlets led with investor skepticism about AI costs, then looked harder at company-specific weak spots and wider speculative risks. Fox Business highlighted the tension between fast cloud growth and infrastructure costs that rattled Wall Street. The New York Post focused on Intel’s PC weakness despite the AI and data-center boom. ZeroHedge tied the moment to crypto’s crash risk.
Both sides, every morning
The day’s biggest stories and how each side covered them. Free.
Articles
Left7
Center24
Topics
- 1
- 2
- 3
- 4
- 5
