For the first time in years, investors are asking a different question about AI.
Not “How much can companies spend?” but “What return will that spending generate?”
Last week, the Nasdaq 100 had its third 10% correction of 2026 as investors reassess the economics behind massive AI investments. While AI remains one of the most transformative technological developments in decades, markets are beginning to demand evidence that hundreds of billions of dollars in spending will ultimately translate into sustainable profits.
This shift doesn’t mean the AI story is over. It simply means markets are moving from enthusiasm toward accountability. Historically, transformative technologies create enormous opportunities, but not every dollar invested generates an attractive return. Investors appear to be entering that phase of the AI cycle.
