Asia’s technology sector has taken a hit after outpacing global peers this year amid strong AI enthusiasm. Regional shares slid sharply in recent sessions, reflecting growing investor concern that the rally may be overheating. Analysts point to stretched valuations, narrow rally breadth and reliance on semiconductors as warning signs. The correction signals increasing volatility in tech markets and raises questions about sustainability of the AI‑led surge, especially in markets where earnings and fundamentals may not fully support the froth.