Overview
- Amazon outlined roughly $200 billion in 2026 capital spending, and together with Alphabet, Meta and Microsoft the group is expected to invest about $650 billion in AI infrastructure, roughly 60% above last year.
- Nvidia jumped 7.8%, adding about $325 billion in market value in one session, as chip, storage and power-equipment suppliers rallied and helped the Dow close above 50,000.
- Software and data‑analytics stocks slumped after Anthropic released new Claude plug‑ins that raised displacement fears, leaving the S&P 500 Software & Services index down about 8% for the week with steep drops in names like RELX and London Stock Exchange Group.
- Market leadership rotated toward value and economically sensitive sectors, with small caps rebounding as investors questioned the timing and returns of the AI spending wave.
- Cloud providers and AI labs accelerated efforts to diversify away from Nvidia with in‑house or alternative accelerators — including Google’s Ironwood TPUs, Amazon’s Trainium3, Microsoft’s custom chips and an OpenAI‑Broadcom initiative — even as Nvidia retains a dominant data‑center share.