US tech stocks set to fall after earnings fuel AI spending concerns

US tech stocks are bracing for a significant downturn as the Nasdaq 100 is expected to open 1.3% lower, triggered by Alphabet and Microsoft's earnings reports falling short of expectations. This has sparked worries about capital expenditure in the AI sector, which is crucial for future tech advancements. Investors are now reassessing the financial health of these major players, which could have broader implications for the tech industry's growth trajectory. It’s a wake-up call highlighting the delicate balance between innovation spending and profitability.