Tech stocks are suffering their biggest selloff since Covid, as investors see premature end to AI datacenter boom

Tech stocks suffered their sharpest selloff since the Covid-19 pandemic after voters rejected data center projects, with chip and networking companies bearing the brunt of the decline. The rout reflects investor fears that the AI datacenter buildout is ending prematurely, hitting the companies that supply the chips and networking gear powering those facilities. The vote outcome has raised doubts about the pace of future infrastructure spending tied to artificial intelligence. Investors will be watching upcoming earnings and capex guidance from major chipmakers and networking suppliers for signs of whether datacenter demand is holding up.