NEW YORK, Feb 6, 2026, 10:11 EST — Regular session
- Amazon shares plunged following the announcement of a $200 billion capital spending plan through 2026, focused on AI infrastructure
- Chip-related AI stocks outperformed certain software names, with investors distinguishing winners from losers.
- Coming up next: the rescheduled U.S. January jobs report on Feb. 11 and Nvidia’s earnings on Feb. 25
Amazon.com shares dropped roughly 9% on Friday after revealing a $200 billion capital expenditure plan for 2026, intensifying investor concerns about Big Tech’s AI investments delivering quick returns. Analysts at MoffettNathanson described the size of the spending as “materially greater than consensus expected.” 1
The decline came as the market struggles to stabilize following a rough week for tech, with investors turning from broad optimism to sharper scrutiny. “There’s a period of greater discernment,” said Kristina Hooper, chief market strategist at Man Group. By 9:33 a.m. ET, the S&P 500 had gained 0.88%, while the Nasdaq was up 0.77%. 2
Investors are now hitting back hard at big spending plans, even when the core businesses seem strong—a shift from last year’s AI frenzy. The tech giants’ planned AI investments topping $600 billion have sparked comparisons to dot-com-era infrastructure booms, where massive buildouts didn’t guarantee smooth profits for shareholders. 3
In the cash market, the split hit fast. Amazon dropped to $202.41, losing $20.28. Nvidia climbed to $180.59, AMD pushed up to $204.94. Alphabet slipped to $323.77, while Microsoft inched up to $396.88.
Amazon revealed its capital expenditure plans a day early, projecting a jump to $200 billion in 2026 from $131 billion in 2025—an increase of over 50%. Much of that will fuel AI capacity expansion. “The market just dislikes the substantial amount of money that keeps getting put into capex for these growth rates,” said Dave Wagner, portfolio manager at Aptus Capital Advisors, referring to capital expenditures. 4
Alphabet is grappling with similar investor calculations. The Google parent flagged capital spending could hit $175 billion to $185 billion in 2026 as it ramps up investments in servers, data centers, and networking equipment. Its cloud division, meanwhile, posted a 48% jump in the December quarter, reaching $17.7 billion. “We are seeing our AI investments and infrastructure drive revenue and growth across the board,” CEO Sundar Pichai said during an analyst call. 5
Pressure isn’t hitting every corner of the AI sector the same way. Investors are favoring “picks ’n shovels” — chipmakers and hardware suppliers fueling data-center expansions — while stepping back from certain software stocks now seen as potential AI casualties. ServiceNow and Salesforce fell 12% and 9% this week, respectively, according to Reuters data. “This divergence is not a vote against AI,” wrote Saxo’s Charu Chanana, noting that investors are distinguishing enablers from those at risk of disruption. 6
The risk lies in the bill arriving before revenue follows. Bernstein analyst Mark Shmulik noted that megacaps are “quickly getting to north of a trillion dollars” in combined 2026 investment once capex and resourcing are factored in. He cautioned that the addressable market must expand by “multiples” fast to justify those numbers. 7
The calendar has a few key dates to watch. The U.S. January employment report will drop on Feb. 11 at 8:30 a.m. ET, while the January CPI report has been moved to Feb. 13, according to the Bureau of Labor Statistics’ updated schedule. 8
Nvidia’s fourth-quarter earnings call on Feb. 25 at 5 p.m. ET is shaping up as the next key event for AI stocks. Investors will zero in on data-center demand and watch closely for any shifts in Nvidia’s language around capacity and supply. 9
