Canada – 2025/08/07: In this illustrated photo, the SoftBank Group (SoftBank) logo is displayed on the smartphone screen. (Photo illustration: Thomas Fuller/SOPA Images/LightRocket, Getty Images)
Sopa Images | Light Rocket | Getty Images
Asian tech stocks fell on Friday as a fresh selloff in U.S. semiconductor stocks spread across Asia, highlighting growing concerns over AI spending.
shares of Softbank Chip equipment makers fell 9.2% Tokyo Electron lost 9%, Advantest It fell 9.4%, marking Wall Street’s steepest losses overnight.
Japanese memory chip manufacturer Kioxia The company plunged more than 14% on Thursday after a federal jury in Texas found that the company had infringed Viasat’s patents related to computer memory technology and ordered it to pay $229 million in damages.
Korean markets were closed due to the holiday. On Thursday, SK Hynix’s stock price ended down more than 11%.
Taiwan’s TSMC Shares fell 3.64% on Friday, a day after the company delivered a sharp profit increase that beat market expectations.
Chinese tech stocks also weakened. Hong Kong listed stocks tencent fell 1.3%, Meituan down 2.4%, Kuaisho Although it decreased by 3.3%, Baidu and alibaba They eased by 0.7% and 1.3%, respectively.
The Nasdaq Composite Index fell 1.47% as U.S. tech stocks continued to trade weakly again and semiconductor stocks came under fresh pressure.
of VanEck Semiconductor ETF fell nearly 4%, and Arm Holdings fell more than 5%. micron technology, advanced micro device and broadcom Each fell more than 5%, but U.S.-listed stocks SK Hynix It fell more than 13%.
TSMC raised its full-year capital spending outlook to $60 billion to $64 billion from $52 billion to $56 billion, but investors instead noted concerns that the industry’s aggressive investment cycle is becoming increasingly difficult to justify.
“Yesterday’s results for TSMC in Asia were not seen as strong enough to warrant further gains in the sector, raising concerns about overspending, with another recent momentum winner wiping out US tech and AI again,” said Andrew Jackson, strategist at Otus Advisors.
Jackson said the stock decline reflected an easing in the crowded AI momentum trade, rather than deterioration in the sector’s long-term fundamentals.
The selloff extends the slide in global AI stocks after months of strong gains, as investors increasingly question whether they can sustain high valuations as spending on AI infrastructure continues to accelerate.
