00:00It's Benzinga bringing Wall Street to Main Street.
00:02Alphabet shares plunged more than 7% on Thursday after the Google parent raised its 2026 capital
00:09spending forecast to as much as $205 billion and reported negative free cash flow for the
00:15second quarter, according to Bloomberg. The decline came even as cloud revenue jumped 82%,
00:21showing that investors are becoming more concerned about the cost of artificial intelligence expansion.
00:27The sell-off spread across the Magnificent Seven as Wall Street questioned whether rising
00:33spending, debt, and weaker cash flow could pressure future returns. Microsoft, Meta, and Amazon may face
00:40similar scrutiny when they report earnings next week. Apple, meanwhile, has outperformed after
00:46avoiding large AI infrastructure investments and partnering with outside model developers.
00:50For all things money, visit Benzinga.com.
