Big tech big spend but big returns growing scepticism

As global technology giants continue to pour resources into artificial-intelligence and cloud infrastructure, analysts are increasingly questioning whether these massive investments will translate into commensurate returns. The so-called ‘Magnificent Seven’ and other large cap tech companies face pressure to justify their lofty valuations amid rising investor scrutiny. Some firms’ earnings growth has failed to keep pace with expanding cost structures. The shift suggests that execution discipline and capital-allocation efficiency may matter more than first-mover innovation narrative going forward.