Some tech shares are plunging - what does that mean for the AI revolution?

• Asian stock markets continued a sharp decline on Wednesday, July 29, driven by investor anxiety over artificial intelligence valuations and increased competition. • The selloff comes as markets anticipate critical earnings reports from major tech firms and an upcoming policy decision from the US Federal Reserve.

• On July 29, 2026, 1,100 AI workers from major firms including OpenAI, Google, Meta, and Anthropic signed a letter urging the U.S. government to slow the pace of AI development. • OpenAI revealed a security breach involving four stolen accounts, highlighting critical vulnerabilities in current AI infrastructure.

• Australia's capital markets experienced a surge in activity during the first half of 2026, with listings and equity raisings totaling US$11.4 billion. • This represents an increase from the US$10.6 billion recorded during the same period in 2025, driven largely by high demand for AI-related investments.

• Indian IT stocks rallied on Tuesday, reversing a period of underperformance and bucking a broader global technology slump. • The surge was driven by strong earnings reports, specifically from Coforge, which posted significant increases in both revenue and profit.

• Employees at leading AI labs like OpenAI and Anthropic are urging the U.S. government to slow the pace of AI development to ensure safety. • Meanwhile, China is accelerating its progress by leveraging open-source models and establishing a rival governance body to challenge Western dominance.

• Asian stock markets experienced a significant decline, highlighted by South Korea's KOSPI sinking 8% and Taiwan's benchmark index falling nearly 4%. • The sell-off was driven by a combination of AI-related jitters, geopolitical tensions following Iranian attacks, and fears that China's growing semiconductor ecosystem will pressure established chipmakers.

• South Korea’s benchmark KOSPI index experienced a steep decline as the AI-driven investment boom began to fade. • The plunge was primarily driven by a drop in investor interest and confidence in major semiconductor chipmakers.

• Nvidia is expanding its AI infrastructure footprint by investing $1 billion in Naver Corp., a South Korean internet and cloud service provider. • The funding is earmarked for an AI data center currently under construction in South Korea, a project developed jointly with the US private equity firm Brookfield Corp.

• The FTSE 100 reached a record high as strong corporate results attracted investors shifting capital away from technology and semiconductor stocks. • In contrast, shares of TSMC, the world's largest contract chipmaker, dropped 3% in Taipei on Wednesday amid a broader AI-sector sell-off.

• Shares of major chip makers have experienced sharp declines, sparking investor fears that the initial market euphoria surrounding AI-related companies is beginning to fade. • The volatility comes despite assertions from industry leaders like DeepMind founder Sir Demis Hassabis, who argues that AI's impact will surpass consequential breakthroughs like the internet or mobile phones.

• Approximately 1,100 AI industry insiders from major firms including OpenAI, Google, and Anthropic have signed a petition calling for an international framework to "pace" AI development. • The move follows recent open letters from NVIDIA CEO Jensen Huang and Anthropic CEO Dario Amodei regarding the role of open source in the industry.