Global Markets & Tech Sell-off

$100Brent crude oil price

$797B"Magnificent 7" market value erased

$205BAlphabet's revised yearly capital expenditure

Soaring oil prices and massive AI infrastructure spending are rattling investors, wiping out nearly $800 billion from the "Magnificent 7" tech stocks.

Global stock markets experienced a significant sell-off, with the S&P 500 and Nasdaq Composite tumbling as Brent crude oil prices surpassed $100 a barrel amid ongoing conflict with Iran, while concerns over rising borrowing costs and massive AI infrastructure spending by tech giants like Alphabet weighed heavily on investor sentiment. The New York Times CNBC
The "Magnificent 7" tech stocks collectively shed $797 billion in market value, marking their worst day since April 2025, as investors reacted to Alphabet's revised $205 billion capital expenditure forecast for AI and Tesla's disappointing earnings report, which saw its stock plummet 14%. Yahoo Finance Forbes
Intel's stock jumped after the chipmaker reported its fastest revenue growth in nearly 15 years, up 25% in the latest quarter, driven by increasing demand for its central processing units from AI firms, signaling a shift in AI spending patterns. CNBC The New York Times
Defense contractors Lockheed Martin and RTX raised their full-year forecasts after beating earnings estimates, benefiting from increased demand as the Pentagon seeks to restock weapons amid global conflicts. Investor's Business Daily
Grocery chain Albertsons saw its stock plunge after lowering its full-year outlook, citing weaker consumer spending on groceries that impacted its core business. CNBC

Trump Administration & Trade Policy

President Trump has dramatically expanded his tariff regime, imposing new double-digit levies on dozens of countries, including Australia, while also pushing for a "kill switch" for rogue AI systems.

President Donald Trump imposed new double-digit tariffs on exports from dozens of countries, including a 12.5% levy on many Australian goods, citing claims of "forced labor" and expanding his trade protectionist policies. Al Jazeera The Guardian
Following the OpenAI cyber incident, House lawmakers introduced a bipartisan "AI Kill Switch" bill, which would empower the Trump administration's Homeland Security chief to order the shutdown of rogue AI systems deemed a national security threat. The Wall Street Journal
The Trump administration released its blueprint for U.S. science, advocating for a shift of hundreds of billions of research dollars from universities to industry, with a strong emphasis on AI development. STAT News
President Trump announced that nearly 200 entities, including state governors and utilities, have signed his non-binding "Ratepayer Protection Pledge," which aims to ensure U.S. consumers do not bear the cost of the AI datacenter build-out. The Guardian
A Pew Research Center survey found that 36% of respondents believe China is more advanced in AI development than the U.S., while only 12% think the U.S. leads, amidst White House accusations of Chinese startups stealing U.S. AI intellectual property. The Hill

AI Industry & Development

$10.3BEtched AI chip startup valuation

1,300British Gas call center jobs cut

The AI sector is seeing rapid innovation and significant investment, but also faces challenges from job displacement and regulatory scrutiny.

AI chip startup Etched, founded by three Harvard dropouts, achieved a $10.3 billion valuation from major investors for its new chips and memory components designed to speed up AI inference without requiring GPUs. TechCrunch
British Gas owner Centrica announced plans to cut 1,300 call center jobs, claiming customers prefer AI chatbots, as the company implements a "targeted deployment of AI tools." The Guardian
Amazon is updating its Alexa Plus assistant with new AI capabilities, allowing it to connect to smart home devices from various brands and handle more complex, multi-step instructions. The Verge
The U.S. and other nations, including China, backed open-source AI with "strong security" at an APEC summit, marking the first time open-source cooperation has been included at a ministerial level. CNBC
Cybersecurity researchers report that AI guardrails, designed to prevent misuse, are inadvertently impeding their work in identifying vulnerabilities and developing offensive tools. TechCrunch

Corporate Deals & Legal Battles

$7BOracle's Pentagon software deal

$4BCorgi insurance startup valuation

Major tech and defense companies are securing significant contracts and facing regulatory challenges, while some startups are rapidly raising capital.

The U.S. Department of War awarded Oracle a 10-year software contract worth up to $7 billion, accelerating the procurement of Oracle solutions through the Enterprise Software Initiative. Fox Business
Insurance startup Corgi reportedly raised additional funding at a $4 billion valuation, marking its third funding round in just eight weeks amidst the AI-driven funding frenzy. TechCrunch
California Attorney General Rob Bonta discussed his office's efforts to block the Paramount merger, highlighting ongoing concerns about media consolidation and the role of the Department of Justice. Politico
The EU fined Google $1 billion for favoring its own apps and services over rivals in search results, a move that could provoke a strong reaction from the Trump administration as it prepares for more tariffs. Politico.eu
Comcast's latest earnings report highlighted the strong performance of NBCUniversal ahead of the company's planned split into separate cable and media businesses. CNBC

Politics & Policy

Political figures are grappling with the implications of AI, from election integrity to national security, while also navigating shifting alliances and public sentiment.

Elon Musk admitted he became "carried away" with politics during his volatile alliance with Donald Trump, stating he should have focused more on his companies instead of his brief role as the president's "financial axman." The Guardian
Republicans, including Donald Trump, seized on a software error in New Jersey that registered 6,600 noncitizens to vote, using the incident to amplify misleading claims of widespread election fraud. The Guardian
Westinghouse is poised to benefit from a global nuclear energy revival, particularly from growing support for nuclear power and President Trump's deal with Saudi Arabia, despite having filed for bankruptcy protection in 2017. The New York Times
Meta's pro-AI ad campaign, which aims to promote optimism about AI's future, has been criticized for being conspicuously light on actual AI details and for using a song about human extinction in one of its ads. Engadget

Quick Shots

📱 The Galaxy Watch 9 and Ultra 2 are raising the bar for Wear OS updates, offering better battery life, enhanced AI features, and longer software support. Android Police
📧 Email startup Scape raised $3.2 million to rebuild the inbox with AI agents, aiming to automate email management with a desktop app that draws on memory of past interactions. Business Insider
🏛️ Patreon is laying off 20% of its workforce, or 93 employees, as CEO Jack Conte states AI has "fundamentally transformed the tech industry" and how the company operates. The Verge
🎮 Former Disney CEO Michael Eisner admitted he cannot remember why he green-lit the popular "Kingdom Hearts" video game series. Eurogamer.net
🤖 The town of Irondale, Alabama, rebranded its annual festival as "AI Love Irondale Day," only to revert to the original name after facing online backlash. NPR

Friday, July 24, 2026