Big Tech credit risks rise sharply as AI spending soars

Credit risks for Big Tech are rising sharply as spending on AI infrastructure accelerates. Investors express growing concern over the massive borrowing required to fund data centres, with total debt reaching $350 billion. This surge in AI-driven liabilities could potentially destabilize the investment-grade bond market. Consequently, these financial trends are increasing systemic risks across the broader financial landscape as tech giants continue to prioritize aggressive investments in artificial intelligence capabilities.