The sharp drop is the latest sign of anxiety creeping through Wall Street over how long it will take AI companies to see returns on massive investments.
  • nothrone@lemmy.dbzer0.comEnglish
    14·
    6 days ago

    Not enough. I want them burning. I want their CEOs, the Epstein class, strapped to the walls and the people pissing on them.

  • Tattorack@lemmy.worldEnglish
    203·
    7 days ago

    Intel is down, AMD is down, SpaceX is going down slowly. Amazon dropped like a rock at the same time as Intel and AMD, but they seemed to have climbed out of the ditch somewhat, but as of yet still not up to where they were before 4pm CET yesterday.

    Nvidia is also down, but not by much. In fact, a lot of America is down in stocks at the moment, while Europe is going up in stocks.

    • IndustryStandard@lemmy.worldEnglish
      51·
      6 days ago

      Every big financial crisis has a few pump and dumps along the road before the real sell-off starts, which is all in the hands of the actual elite.

    • UnderpantsWeevil@lemmy.worldEnglish
      2·
      6 days ago

      Intel is down, AMD is down, SpaceX is going down slowly.

      Off of stratospheric highs. They’re now merely overvalued, rather than extremely overvalued

  • radiofreebc@lemmy.worldEnglish
    3·
    6 days ago

    Pretty soon the stock market is just going to be GameStop, and the people who believed that stock was showcasing the fundamental cracks in the market. Wall Street has never cared as much about investors, as when it comes to warning people what a risky stock GME is…but that’s just because they’re Marianas Trench level underwater shorting that stock.

    GME will be the last stock standing when it all comes undone.

    Ad hominem attacks and FUD incoming in 3…2…1…

  • plenipotentprotogod@lemmy.worldEnglish
    135·
    8 days ago

    I know the article is about google, but the bit about caterpillar is insane.

    The bleeding even spread beyond the tech sector, as shares of the construction equipment giant Caterpillar — a key supplier of the machines required to build data centers — plunged 9.2% on Thursday. Caterpillar’s recent earnings report revealed that its revenue beat Wall Street expectations but by less than many traders had hoped.

    So, their earnings beat expectations, but they didn’t beat the expectations for how much they’d beat expectations, so the share price went down.

    What is even going on at this point?

    • merc@sh.itjust.worksEnglish
      4·
      7 days ago

      This also points out how the AI bubble is affecting the economy far beyond the tech sector.

      Construction equipment used to be used for other things, not just building datacenters. But, since the start of the AI bubble, almost everything else has slowed down because they’re dedicating so much construction equipment and workers towards building datacenters.

      https://futurism.com/future-society/data-center-spending-ai-bubble-construction

      In just 1 year, construction work on DCs has gone up by 64.5%. And, that’s from 2025 to 2026. It’s not like it was at a standstill in 2025. Meanwhile, residential construction is down significantly. And, there has been a 25% cut in construction related to manufacturing.

    • Pyr@lemmy.caEnglish
      30·
      8 days ago

      Yet Tesla can do absolutely fucking nothing and then do a Nazi salute and shares go up 50%

    • JohnEdwa@sopuli.xyzEnglish
      11·
      7 days ago

      You own land, and you decide to plant it full of one type of crop because the forecast promises you an excellent harvest. You don’t have money, so you get a deposit from people buying the crop, in return of a certain share of the harvest. But most people that did so actually believe the forecast was very conservative and the crop will end up even bigger, so they’ll expect more than you promised.

      Then the forecast changes, and the harvest might end up smaller, and much smaller than the people expected. Some want their deposit back, but to do so they have to sell that share to someone else, but they buy it with the current forecast and demand, and pay way less for it.

      People buying Caterpillar expected for a massive construction boom. Any kink to that forecast is going to cause some people to reconsider and pull their money to the next potential company able to fly to the moon.

    • AdolfSchmitler@lemmy.worldEnglish
      10·
      7 days ago

      This exact thing has been driving me crazy for like a decade now. Say a company makes $1 billion in profit one year, and the next year isn’t as good but they make $800 million. Still a very profitable company, but because it was less then the year before it’s considered horrible and the company is basically going out of business.

    • TankovayaDiviziya@lemmy.worldEnglish
      4·
      7 days ago

      So, their earnings beat expectations, but they didn’t beat the expectations for how much they’d beat expectations, so the share price went down.

      That’s why I always say that big shot, institutional investors are a bunch of cunts. They always think in short term. That’s why I am in favour of half year earnings report so that there is less pressure for companies to think in three months time.

  • schipelblorp@sh.itjust.worksEnglish
    134·
    8 days ago

    But all that AI is coming at a massive cost to Alphabet, which disclosed that it has committed to more than $1 trillion worth of multiyear spending agreements to fund the infrastructure, energy and leases required to run AI systems.

    This is the problem right here: lack of faith. Google should announce $3 trillion in new AI commitments. Stock market are just a bunch of pussies that can’t clap hard enough for Tinker Bell to live.

    • Guy Dudeman@lemmy.worldEnglish
      52·
      8 days ago

      Did you see the part where their revenue was down because fewer ads were being served because people are using their stupid AI summaries instead of searches? God, these people are short-sighted.

      • TeaWithDani@lemmy.worldEnglish
        2·
        7 days ago

        There’s also been a multiyear trend of dropping ad sales overall, especially with higher quality companies. Meaning they need far more impressions of the same buyers to make ends meet.

        They are all experiencing a recession, hidden by the Ai bubble, so the only people buying ads are lower quality scam companies, gambling and other bullshit. These are less sustainable clients that can vanish at any moment.

        Ads targetting people who cant afford to buy things are also not super viable.

      • Valmond@lemmy.dbzer0.comEnglish
        13·
        7 days ago

        You talk about those people who had a close to a search monopoly, and to make the line go up, degraded results so people would spend more time searching (and thus being exposed to ads)?

      • criss_cross@lemmy.worldEnglish
        6·
        7 days ago

        They’re betting that they can slowly start incorporating ads into those AI summaries.

        EDIT: However that’s a losing bet as anyone can get a local model that can do a search like that without the enshittified model.

    • Impractical_Island@lemmy.worldEnglish
      45·
      7 days ago

      I asked my penis, she said start using the bitch. I said I beat you daily and she starts talking about ass and pussy and it’s like I might be the second coming but I ain’t no miracle worker, aight? Fucking get off my dick already, you fucking dick, amirite?