Major Tech Stocks Lose $2.5trn as AI Regulation Fears Rattle Investors
Major technology companies recorded significant market losses on Thursday, with an estimated $2.5 trillion wiped off the Nasdaq amid growing concerns over tighter artificial intelligence (AI) regulations following Democratic victories in the US midterm elections.
The Nasdaq Composite dropped more than 5.5 per cent, marking its worst trading session since 2025, as investors reacted to renewed political opposition to the rapid expansion of AI infrastructure, particularly data centres and other facilities required to power advanced AI systems.
The election outcomes have heightened concerns among investors that Democratic gains could strengthen calls for stricter oversight of the technology sector, potentially slowing AI development and increasing regulatory pressure on major technology companies.
Blessing Anolaba
Editorial & Creative Correspondent
A storyteller and journalist passionate about telling stories for policy change and impact.
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