Rising concerns about financing the AI boom sent data center operators and other high-risk tech companies sharply lower, as investors question whether the massive spending spree can continue.
CoreWeave $CRWV ( ▼ 3.03% ) led the decline after reporting larger-than-expected capital expenditures and an even bigger investment plan for 2026. The reaction suggests markets are growing uneasy about businesses that depend heavily on external funding to build AI infrastructure.
Neocloud and data center firms such as Nebius $NBIS ( ▼ 1.89% ) , IREN $IREN ( ▲ 0.61% ) , Applied Digital $APLD ( ▲ 3.08% ) , and Cipher Mining $CIFR ( ▲ 2.24% ) also dropped sharply.
When credit tightens, speculation cracks
The selloff quickly spread beyond infrastructure providers.
Quantum computing companies including IonQ $IONQ, D-Wave Quantum $QBTS ( ▲ 0.27% ) , Rigetti Computing $RGTI ( ▲ 0.52% ) , and Infleqtion $INFQ ( ▲ 2.71% ) also tumbled. These firms share a similar risk profile. They rely on future breakthroughs while consuming large amounts of capital today.
Speculative stocks often move together because they attract similar investors. When financing conditions worsen, capital tends to leave the entire group at once.
The AI boom collides with funding reality
Many of these companies depend on continued access to debt markets, equity raises, or private funding to sustain expansion.
If credit becomes scarce or more expensive, their growth plans could stall. That risk is especially acute for firms building capital-intensive assets such as data centers, which require enormous upfront spending before generating meaningful cash flow.
The broader concern is that AI development is absorbing huge amounts of capital while clear long-term returns remain uncertain.
Software stress adds to the pressure
Concerns extend beyond startups.
Private credit lenders have significant exposure to software companies, many of which now face disruption from AI tools. Layoffs and restructuring across the sector reinforce fears that traditional business models are under pressure.
In effect, lenders appear reluctant to fund legacy software due to disruption risk while also hesitant to finance early-stage AI firms because profitability is uncertain.
Oracle becomes a credit barometer
Large technology companies are not immune to the shift in sentiment.
Oracle $ORCL ( ▲ 0.89% ) , often viewed as a bellwether for AI credit conditions, has seen its perceived credit risk rise despite plans to fund more spending through equity instead of debt. Its credit default swap spreads are approaching levels last seen during the financial crisis era.
Taken together, the moves suggest investors are asking a new question. Not how big AI can become, but who can afford to pay for it.
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