The artificial intelligence boom has been the biggest driver of technology markets, but investors are now becoming more selective as they question whether massive AI infrastructure spending can continue at the same pace. Concerns around AI valuations, semiconductor competition and the ability of companies to generate measurable returns from AI investments have created volatility across technology stocks.

Nvidia remains at the centre of the AI investment cycle, while semiconductor equipment companies face pressure from concerns about China’s expanding domestic chip manufacturing capabilities. Meanwhile, cloud providers, AI software companies and alternative semiconductor suppliers could benefit as businesses continue adopting artificial intelligence solutions.

Winners

Cloud infrastructure companies benefiting from AI expan ...