Tech stocks were mixed on Tuesday morning as investors weighed cautious optimism for an extended ceasefire agreement between the US and Iran, quarterly results from chipmakers, and announcements from the annual Computex conference in Taiwan.
Alphabet stock (GOOG, GOOGL) was in focus Tuesday morning after the tech giant said it plans to raise $80 billion by selling stock, including by offering Warren Buffett’s Berkshire Hathaway (BRK-B, BRK-A) $10 billion in shares. Alphabet said it will use the proceeds to pay for its artificial intelligence build-out. The company plans to spend $180 billion to $190 billion in capex this year.
Meanwhile, comments from Nvidia’s CEO Jensen Huang at Computex Taipei continue to move tech stocks. On Monday, software stocks got a lift after Huang said in a keynote address that he believes AI will increase demand for software companies, pushing back against a prevailing view this year that software makers will become obsolete in the age of AI. PC makers also surged after Nvidia unveiled a new processor — the RTX Spark — for Windows laptops.
On Tuesday, Marvell stock (MRVL) jumped 19% in premarket trading after Huang called the chipmaker the next "trillion-dollar company."
In the private markets, Anthropic (ANTH.PVT) filed confidential paperwork with the Securities and Exchange Commission to go public, beating rival OpenAI (OPAI.PVT) to the punch. Last week, Anthropic announced that it had completed its Series H funding round, valuing the company at $965 billion, making the Claude Code creator the most valuable AI startup in the world.
Investors continue to assess what the looming mega IPOs from Anthropic, OpenAI, and SpaceX (SPAX.PVT) mean for the booming AI and tech trade.
