conv.

All stories
BusinessQuiet 7d · day 16

Alphabet's AI-search stumble triggers record stock rout, drags Amazon and Intel

A Q3 earnings miss tied to AI search costs wiped $475B off Alphabet in a day, and the AI-spending jitters spread to Amazon and Intel.

newest coverage 6d agosummary written 2d ago701 pieces9.6k likes & upvotes634 comments BlueskyNewswiresGoogle NewsMastodonHacker NewsRedditXYouTube

Part of a larger narrative

The AI Chip Bubble

12 stories · since Oct 14 · newest 4d ago — A sharp reversal in investor enthusiasm for AI semiconductor companies is triggering a cascade of postponed offerings, executive warnings about speculative…

  1. OpenAI cuts funding round target to $20B as valuation drops to $1.25T
  2. S&P cuts Meta outlook to negative over $252B AI capex and cash flow deficits
  3. OpenAI launches election 'war room' ahead of US midterms
  4. OpenAI Reportedly Plans to Buy Google's TPUs, Diversifying From Nvidia
  5. Oracle moves to raise $20 billion in stock and bonds to fund AI buildout
All 12 stories in this narrative →

What to know

  • Alphabet's stock fell nearly 13% on Oct 29, its worst day ever and the second-biggest single-day market-cap loss for any US company (~$475B), after free cash flow swung to a loss on AI spending.
  • Search revenue growth of 12% missed estimates, feeding a narrative that AI Mode search is cannibalizing Google's core advertising business.
  • The AI-spending anxiety spread beyond Alphabet: Amazon fell 7% and Intel plunged 25% in premarket trading the next day after their own earnings, and global markets traded mixed on broader AI-related worries.
  • Online reaction is largely unsympathetic, framing the losses as self-inflicted by forcing AI search on users who don't want it, while some commenters tie it to wider doubts about whether AI spending across the industry will ever pay off.

The dispute Some commenters relish the losses as deserved comeuppance, while others (e.g. iustitia100) point out the hypocrisy that people complaining about AI keep using it anyway. · positions read across 422 posts and comments

most voices

Google broke its own profitable product by forcing AI search on users, and deserves the losses.

  • “"I killed and ate my goose that laid golden eggs and now I have no more golden eggs, please help."”

    garysmith.bsky.social · Bluesky ↗
some voices

This confirms AI spending broadly is an unprofitable bubble that should be scaled back or divested from.

  • “And saying AI isn’t profitable but we are using it anyway is admitting AI isn’t profitable. Burst that bubble. Divest and decentralize.”

    0-dererumnatura.bsky.social · Bluesky ↗
some voices

Users are simply disabling or avoiding Google's AI search features themselves.

  • “Hell, I don't even bother with Google Search anymore. I just switch it to Duck Duck Go and turn the AI features off. Eliminated a lot of hassle that way. 😀”

    mouser76.bsky.social · Bluesky ↗

“probably represents a buying opportunity”

Angelo Zino, CFRA analyst · Yahoo Finance · Oct 28

Alphabet / Google Company at center of the selloffJeffrey Wlodarczak Pivotal Research CEO, analystAngelo Zino CFRA analystAmazon Cloud/AI competitor also hit by the selloffIntel Chipmaker caught in the broader tech selloff

Alphabet's AI-search stumble triggers record stock rout, drags Amazon and Intel
Investing.com News

How it unfolded 7 developments, newest first · click a bar or a number to jump articlesvideospostscomments

Peak 225 pieces in 4h at Oct 29, 11 AM; 701 pieces over 16 days (232 articles · 4 videos · 63 posts · 402 comments) Oct 23, 7 AM — 1 piece · 1 post — Bluesky 1Oct 23, 11 AM — quietOct 23, 3 PM — quietOct 23, 7 PM — quietOct 23, 11 PM — quietOct 24, 3 AM — quietOct 24, 7 AM — quietOct 24, 11 AM — quietOct 24, 3 PM — quietOct 24, 7 PM — quietOct 24, 11 PM — quietOct 25, 3 AM — quietOct 25, 7 AM — quietOct 25, 11 AM — quietOct 25, 3 PM — quietOct 25, 7 PM — quietOct 25, 11 PM — quietOct 26, 3 AM — 2 pieces · 2 articles — Newswires 2Oct 26, 7 AM — 2 pieces · 2 articles — Google News 2Oct 26, 11 AM — 2 pieces · 2 articles — Google News 2Oct 26, 3 PM — quietOct 26, 7 PM — quietOct 26, 11 PM — quietOct 27, 3 AM — quietOct 27, 7 AM — quietOct 27, 11 AM — 2 pieces · 2 articles — Google News 2Oct 27, 3 PM — 1 piece · 1 article — Google News 1Oct 27, 7 PM — 1 piece · 1 article — Google News 1Oct 27, 11 PM — quietOct 28, 3 AM — 4 pieces · 4 articles — Google News 3, Newswires 1Oct 28, 7 AM — 3 pieces · 3 articles — Newswires 2, Google News 1Oct 28, 11 AM — 5 pieces · 5 articles — Newswires 5Oct 28, 3 PM — 98 pieces · 56 articles · 1 video · 12 posts · 29 comments — Newswires 40, Reddit 26, Google News 16, +4 moreOct 28, 7 PM — 44 pieces · 31 articles · 3 posts · 10 comments — Google News 20, Newswires 10, Reddit 9, +2 moreOct 28, 11 PM — 24 pieces · 15 articles · 3 posts · 6 comments — Newswires 14, Reddit 6, Mastodon 2, +2 moreOct 29, 3 AM — 27 pieces · 13 articles · 1 video · 1 post · 12 comments — Reddit 12, Google News 7, Newswires 5, +2 moreOct 29, 7 AM — 92 pieces · 18 articles · 1 video · 12 posts · 61 comments — Bluesky 47, Reddit 20, Newswires 10, +5 moreOct 29, 11 AM — 225 pieces · 44 articles · 11 posts · 170 comments — Bluesky 141, Newswires 32, Reddit 30, +4 moreOct 29, 3 PM — 54 pieces · 21 articles · 1 video · 5 posts · 27 comments — Bluesky 18, Google News 12, Newswires 9, +4 moreOct 29, 7 PM — 42 pieces · 7 articles · 6 posts · 29 comments — Bluesky 18, Reddit 7, Mastodon 5, +3 moreOct 29, 11 PM — 20 pieces · 1 article · 2 posts · 17 comments — Reddit 10, Bluesky 6, Hacker News 2, +2 moreOct 30, 3 AM — 19 pieces · 3 articles · 7 posts · 9 comments — Bluesky 7, Reddit 6, Mastodon 4, +1 moreOct 30, 7 AM — 12 pieces · 1 article · 11 comments — Bluesky 6, Reddit 5, Google News 1Oct 30, 11 AM — 4 pieces · 4 comments — Bluesky 2, Reddit 2Oct 30, 3 PM — 2 pieces · 2 comments — Reddit 1, Bluesky 1Oct 30, 7 PM — 3 pieces · 3 comments — Reddit 3Oct 30, 11 PM — 4 pieces · 4 comments — Bluesky 3, Reddit 1Oct 31, 3 AM — 4 pieces · 4 comments — Bluesky 3, Reddit 1Oct 31, 7 AM — quietOct 31, 11 AM — quietOct 31, 3 PM — quietOct 31, 7 PM — quietOct 31, 11 PM — quietNov 1, 2 AM — quietNov 1, 6 AM — 2 pieces · 2 comments — Bluesky 1, Reddit 1Nov 1, 10 AM — quietNov 1, 2 PM — quietNov 1, 6 PM — 1 piece · 1 comment — Reddit 1Nov 1, 10 PM — quietNov 2, 2 AM — quietNov 2, 6 AM — quietNov 2, 10 AM — quietNov 2, 2 PM — quietNov 2, 6 PM — quietNov 2, 10 PM — quietNov 3, 2 AM — quietNov 3, 6 AM — quietNov 3, 10 AM — quietNov 3, 2 PM — quietNov 3, 6 PM — quietNov 3, 10 PM — quietNov 4, 2 AM — quietNov 4, 6 AM — quietNov 4, 10 AM — quietNov 4, 2 PM — 1 piece · 1 comment — Reddit 1Nov 4, 6 PM — quietNov 4, 10 PM — quietNov 5, 2 AM — quietNov 5, 6 AM — quietNov 5, 10 AM — quietNov 5, 2 PM — quietNov 5, 6 PM — quietNov 5, 10 PM — quietNov 6, 2 AM — quietNov 6, 6 AM — quietNov 6, 10 AM — quietNov 6, 2 PM — quietNov 6, 6 PM — quietNov 6, 10 PM — quietYesterday, 2 AM — quietYesterday, 6 AM — quietYesterday, 10 AM — quietYesterday, 2 PM — quietYesterday, 6 PM — quietYesterday, 10 PM — quietToday, 2 AM — quietToday, 6 AM — quietToday, 10 AM — quiet 12–56–7
Oct 25Oct 27Oct 29Oct 31Nov 2Nov 4Nov 6now · 1:15 PM ET
  1. 7

    Global markets trade mixed as AI worries ripple outward

    Asian and global trading turned mixed as the Alphabet selloff and the subsequent Amazon/Intel declines fed broader concern about the sustainability of AI-related spending across the tech sector.

    1. 2 outlets Alphabet Stock is Tumbling. Here's What It Tells Us About the AI Trade.

      first by Wall Street Journal, 10d ago · also CNBC

      1 more headline
    2. 1 outlet Global trading is mixed as worries about AI-related issues grow

      first by Philadelphia Inquirer, 9d ago

    1 more claim →

    • "We replaced our world-renowned search engine with a shitty version that's more expensive to run and nobody wanted, how could our shares tumble."

      tccschreiner.bsky.socialBluesky9d ago20▲view on Bluesky ↗
    2 more of the top 3 · 37 posts in this stretch

    • Is there 10% a year growth on their current level of revenue? Is Waymo ever going to be that big? You don't have any idea what you're talking about. You're naming a handful of tiny plays relative to their current business models. Nothing they've got coming is going to sustain the growth rate that their valuation demands long term. They don't need…

      THedman07r/StockMarket9d agoview on r/StockMarket ↗
    • jockr@mastodon.social

      Value of Google parent Alphabet plunges by $500bn as AI fears rattle Wall Street https://www. bbc.com/news/articles/cm9qzdqp xy48o

      jockr@mastodon.socialMastodon9d agoview on Mastodon ↗
    all of them →
  2. 6

    Amazon falls 7%, Intel plunges 25% in premarket trading

    Pressure from AI spending concerns spread beyond Alphabet: Amazon shares dropped and Intel plunged 25% in premarket trading following their own earnings, as investors grew nervous about whether massive AI capital spending across big tech will pay off.

    “Investors are nervous about the massive AI spending from the tech giants and whether that will pay off.”
    — CNBC
    1. 4 outlets Why Google shares plunged over 10%

      first by Financial Express, 10d ago · also Financial Times, BNN Bloomberg, CTV News

      2 more headlines
    2. 2 outlets Google, Microsoft, Amazon face investor pressure to justify massive AI spending as earnings loom

      first by Hindustan Times, 11d ago · also Coinpaper

      1 more headline
    2 more claims →

    • …And creates liability issues in several countries.

      elfherself.bsky.socialBluesky9d ago15▲view on Bluesky ↗
    2 more of the top 3 · 45 posts in this stretch
    • dcdeejay@mastodon.online

      All of the most successful companies currently propping up the American economy: - bet their futures on things most people hate - spend WAY more than they earn - are each other's biggest investors - rely on the exact same shared customer/user base for revenue Absolutely nothing can go wrong here at all. # USPol # politics # BigTech https://www…

      dcdeejay@mastodon.onlineMastodon9d ago6▲view on Mastodon ↗

    • Google is probably going to be fine. The web is going to get a bit weird in a few years and they're going to be right in there.The web is likely going to layer up soon. As more and more people utilize AI it changes traffic. It's impossible (and undesirable) to keep training with current affairs, LLMS need to go out to the web to find reality and…

      ticulatedsplineHacker News9d agoview on Hacker News ↗
    all of them →
  3. 5

    Analysts dissect the $475bn wipeout and split on what it means

    Yahoo Finance detailed the loss as the second-biggest one-day market-cap drop ever for a US stock behind Nvidia's 2025 DeepSeek-driven fall, with free cash flow swinging to about a $9 billion loss as AI spending climbed; analysts disagreed on whether the selloff was justified.

    “The bears will argue this is the first quarter that AI is starting to seriously hurt their search business…”
    — Jeffrey Wlodarczak, Pivotal Research CEO
    1. 9 outlets Google-parent Alphabet's stock price plunges, erasing more than $500 billion in value

      first by NBC10 Philadelphia, 10d ago · also Times of India, Ventureburn, Yahoo Finance, Business Standard, The Motley Fool, Yahoo +2

      8 more headlines
    2. 2 outlets Microsoft Vs. Alphabet: AI Spending Splits the Market

      first by Investing.com India, 10d ago · also Storyboard18

      1 more headline

    • Upper management wanted everyone to hit that AI spend target, and they succeeded.

      brada.bsky.socialBluesky10d ago59▲view on Bluesky ↗
    2 more of the top 3 · 201 posts in this stretch

    • This is a tumble, but as someone with a 2008 cost basis who watched Google flatline from 2018–2019, the current valuation compression looks pretty reminiscent. Just price-wise it’s similar to what was going on just in February-March of this year too, after which it suddenly shot sky high. I’m still up nearly 2000% and nowhere near retirement age…

      NiceImpact4478r/StockMarket10d agoview on r/StockMarket ↗
    • Lilmikesf@c.im

      # ICYMI google's MarketCap dropped $500 BILLYUN today... its worst single-day drop on record after releasing earnings that were lower than expected... That 13% # Alphabet slide was seen driven by fears that the costs of the global AI revolution are likely just a buncha # BS if the economy sucks & # MidEast oil stays locked in endless quagmire…

      Lilmikesf@c.imMastodon9d agoview on Mastodon ↗
    all of them →
  4. 4

    Social media mocks Google over AI search's cost to its own business

    A large wave of comments on the news framed the rout as self-inflicted, arguing Google had undermined the profitability of its own search product by forcing AI Mode on users.

    “"I killed and ate my goose that laid golden eggs and now I have no more golden eggs, please help."”
    — garysmith.bsky.social
    • twinskippy.bsky.social

      Watching the little thought bubble search its Reddit scrapes (?!?!?!?!?) for the answer to my question is insane.

      twinskippy.bsky.socialBluesky10d ago558▲view on Bluesky ↗
    2 more of the top 3 · 65 posts in this stretch

    • I'm not the poster you're replying to but I agree with the sentiment. In my view Sundar needs to go because he has never expressed a cohesive goal, vision or long term idea for Google other than "line go up". He just jumps to whatever shiny thing they're chasing du jour. Google's culture problem stems from lack of vision, leadership and project…

      oatknightr/StockMarket10d agoview on r/StockMarket ↗

    • The Gulf of America guys are cannibalizing themselves with an unprofitable product? ** pulls out tiny violin **

      human-guy39.bsky.socialBluesky10d ago479▲view on Bluesky ↗
    all of them →
  5. 3

    Alphabet shares crash 13%, worst day in company history

    At the open, Alphabet stock fell as much as 13%, erasing roughly $400-475 billion in market value in the steepest one-day drop since the company went public in 2004, after it revealed AI search modes were pressuring core advertising profit.

    “Google stock plunges 13% in LARGEST LOSS in Alphabet's history after Q3 earnings miss... The crash wiped out over $400 BILLION in market value…”
    — @RT_com
    1. 10 outlets A potentially historic drop for Alphabet’s stock drags the US market lower

      first by AP News, 10d ago · also Philadelphia Inquirer, The Economic Times, Yahoo Finance, The National UAE, WSJ, WSJ Markets +3

      6 more headlines
    2. 3 outlets Stock Market Says Alphabet Is AI Loser

      first by 24/7 Wall St., 12d ago · also MarketWatch, CNBC

      2 more headlines
    8 more claims →
    • financialtimes.com

      Breaking news: Alphabet shares tumbled 13% on Thursday after the Google owner revealed that 'AI mode' searches were threatening profits at its core advertising business. ft.

      financialtimes.comBluesky10d ago4.7k▲view on Bluesky ↗
    2 more of the top 3 · 13 posts in this stretch

    • Google stock plunges 13% in LARGEST LOSS in Alphabet's history after Q3 earnings miss The crash wiped out over $400 BILLION in market value Aggressive AI hardware spending and lower ad monetization on AI-generated search results triggered a $9.1B negative cash flow panic

      @RT_comX10d ago1.3k▲view on X ↗

    • If you're going to take out the big boost in earnings from equity holdings, then you need to take out the giant drop this quarter as well. Without the $8B hit to net income driven by those same equity holdings, their EPS was more like $2.87. That said, it all counts. In the past six months, their equity holdings have only contributed $89B to…

      Hacking_the_Gibsonr/stocks10d agoview on r/stocks ↗
    all of them →
  6. 2

    Alphabet drops 10% in premarket trading

    Shares fell in premarket after Alphabet reported a larger negative free cash flow than analysts expected while maintaining its spending guidance for the year, putting it on course for its biggest-ever post-earnings drop.

    “Alphabet reported a larger negative free cash flow than analysts had expected while maintaining its spending gudiance for the year.”
    — Arjun Kharpal
    1. 7 outlets Asia stocks fall as Alphabet, Samsung results disappoint; more tech earnings loom

      first by Investing.com News, 10d ago · also Philadelphia Inquirer, WIVB News 4, Toronto Star, Yahoo Finance, WSJ Markets, WSJ

      4 more headlines
    2. 1 outlet Alphabet falls 13%, putting it on course for its biggest ever post-earnings drop

      first by CNBC, 10d ago

    2 more claims →

    • TheRegister: Shares in Google’s parent company Alphabet dived by almost ten percent on Wednesday, after the web giant admitted AI-powered searches earn it less money than it earns by serving ads with its old-school search engine.

      exador23@m.ai6yr.orgMastodon10d ago7▲view on Mastodon ↗
    2 more of the top 3 · 18 posts in this stretch

    • Anthropic recently published the data/results for q1 and q2. People saw that and thought the situation wasn't that bad. So the rally happened on old data. It's smoke n mirrors, here look at our business while tokenmaxxing, ignore Chinese open models, ignore us lowering the token price by half, ignore the whole 3rd quarter, thanks. And people clap…

      Koreus_Cr/StockMarket10d agoview on r/StockMarket ↗

    • I have not been saying this for past 3 years. I myself didn't start heavily using ChatGPT/Claude until early 2025 when it became much better at searching the internet for information. I imagine I'm still relatively early based on how most people here still talk about LLMs like they're still using the free version from 2024.

      Ok-Adeptness-5834r/stocks10d agoview on r/stocks ↗
    all of them →
  7. 1

    Alphabet releases Q3 2026 earnings

    Alphabet reported Google Cloud revenue more than doubling to about $31 billion and the Gemini app passing 1 billion users, but search revenue growth of 12% missed Wall Street's roughly $65 billion estimate.

    1. 7 outlets Google/Alphabet Revenues Up 25 Percent to $127.6 Billion

      first by Thurrott, 10d ago · also Constellation Research, Alphabet, Seeking Alpha, Anadolu Agency, Anadolu Ajansı Güncel Haberler, RuntimeWire

      6 more headlines
    2. 5 outlets Google drags down Wall Street stocks

      first by Channel News Asia, 10d ago · also BBC, Yahoo! Finance Canada, Fox Business, News18

      3 more headlines
    7 more claims →
    • newsarea.bsky.social

      Stocks Slide as AI Trade Falters and Oil Rallies: Markets Wrap – Bloomberg.com Stocks slid in a broad retreat from riskier assets as a slate of technology earnings fell short of elevated expectations and escalating hostilities in the Middle East pushed oil prices higher. Treasuries rallied on…

      newsarea.bsky.socialBluesky16d ago1▲view on Bluesky ↗
    2 more of the top 3 · 43 posts in this stretch
    • drahardja@sfba.social

      Chaser: “Alphabet shares slumped more than 10% after the search giant reported a drop in free cash flow during the third quarter, in a worrying sign for the artificial intelligence trade.” # Alphabet # google # AI # stonks https://www. cnbc.com/2026/10/28/alphabet-g oogl-earnings-q3-2026.html

      drahardja@sfba.socialMastodon10d ago1▲view on Mastodon ↗

    • Impressive growth, and even more, ahem, impressive capital spending :-OAccording to page 6, year to date in 2026, operations generated $127B in cash, and capital spending on property and equipment was $132B, so year to date, the business consumed $5B.According to page 8, in the last quarter, operations generated $42B and capital spending was $51B…

      cs702Hacker News10d agoview on Hacker News ↗
    all of them →

Also covered reported alongside — the timeline has no entry for these yet

  1. 5 outlets Alphabet shares tumble 8.5% as earnings miss overshadows cloud boom

    first by Investing.com News, 10d ago · also Investor's Business Daily, Semafor, Reuters, Yahoo Finance

    4 more headlines
  2. 5 outlets Alphabet shares fall as revenue, profit miss estimates despite Cloud surge

    first by Proactive, 10d ago · also Investing.com News, Reuters, Channel News Asia, NYT Tech

    2 more headlines
  3. 4 outlets Alphabet and Microsoft Earnings Will Put Investors' AI Stress to the Test

    first by The Daily Upside, 13d ago · also Bloomberg Tech, The Motley Fool, Yahoo Finance

    2 more headlines
  4. 3 outlets Google parent takes $500bn hit on AI worries

    first by Sky News, 10d ago · also The Hindu, The Indian Express

    3 more headlines
  5. 3 outlets Shares in Google owner Alphabet sink on profit miss, ad slowdown

    first by Agence France-Presse, 10d ago · also The Hindu, Japan Today

    1 more headline
  6. 3 outlets Asian shares fall as Alphabet earnings miss drags Wall St futures lower

    first by Channel News Asia, 10d ago · also Investing.com News, Reuters

  7. 3 outlets Investors turn on Google owner Alphabet after profit miss, ad slowdown and high spending

    first by Mastodon, 10d ago · also Yahoo Finance, The Guardian

    1 more headline
  8. 3 outlets Alphabet Tumbles 8% As Quarterly Revenue Misses Expectations

    first by Forbes Business, 10d ago · also Philadelphia Inquirer, Forbes

    1 more headline
  9. 2 outlets Google erases a record $500 billion as AI eats into sales

    first by Japan Times, 9d ago · also Bloomberg Tech

  10. 2 outlets Wall Street slides as Alphabet revenue miss revives AI capex jitters

    first by Investing.com News, 9d ago · also Yahoo Finance

    1 more headline

and 50 smaller pieces

What people are saying 10 voices from 5 sites · best of 422 · verbatim

Still unanswered
  • What would the broader economic fallout be if AI-driven tech valuations collapse further?
  • Will Google start inserting paid advertising directly into AI search answers to recover lost ad revenue?