Tech earnings triggered a rough day for stocks, as fears grow that heavy AI spending isn't paying off fast enough — bad news for Google, Amazon, and Intel investors.

• Google's parent Alphabet dropped about 12%, its worst-ever post-earnings drop, wiping out roughly $500 billion in value as search ad growth slowed sharply — a sign AI chatbots may be chipping away at its core business.
• Amazon poured $77 billion into AI infrastructure in just three months, but its earnings still missed expectations, raising doubts about whether that spending is paying off yet.
• Intel slid on a weak PC market and supply problems, and Caterpillar fell too, dragging the Dow and S&P 500 down with it.
• Much of this AI spending boom is being funded by debt, with Google and Microsoft among those raising huge new debt offerings, fueling worries this looks like a bubble.
• Noted investor Steve Eisman dismissed AI hype outright, calling today's chatbots glorified word-prediction tools, not remotely sentient, and warned the entire AI boom hinges on OpenAI and Anthropic staying financially healthy.

Outlook: Expect more choppy trading as investors judge whether AI spending will eventually pay off, with upcoming inflation data and the Fed's December rate decision as the next big test.