The Magnificent 7 tech stocks lost $2.3 trillion（約370兆円） in market value during June, their worst month on record, amid investor concerns that hyperscalers are spending unsustainably on AI infrastructure. Capital expenditure now consumes nearly all operating cash flow—98%—and the circular arrangement where cloud providers invest in AI labs that purchase compute back from them raises questions about whether these investments will ever generate profitable returns.
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The Magnificent 7 tech stocks erased $2.3 trillion（約370兆円） in market cap in June alone, the largest monthly loss ever for the group. Microsoft fell -19%, Amazon dropped -8.77%, Meta shed -6.11%, Alphabet gave back -4.99%, NVIDIA slipped -10.72%, and Apple was down -5.53%.
Why it matters
Hyperscaler capex (spending on AI infrastructure) is up 84% from a year ago and now amounts to 98% of cash flow from operations—meaning almost every dollar these companies generate is being recycled into chips and power rather than returned to shareholders. Investors are questioning whether the enormous capital investments will ever pay back, especially as cloud providers invest billions in AI labs that then buy compute back from those same providers.
What to watch
Alphabet has guided $180 to $190 billion（約30兆円） in full-year capex with 2027 expected to significantly increase on top of that. Meta raised its full-year capex range to $125 to $145 billion（約23兆円）, up from $115 to $135 billion（約22兆円）, with the CFO stating the company has continued to underestimate its compute needs.
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