SoftBank sinks 11% as Asia tech rout tracks declines in the U.S.

SoftBank Group experienced a dramatic decline of over 11% on Friday, triggering a widespread selloff in Asian technology stocks. This downturn is largely attributed to growing worries about the increasing expenses associated with artificial intelligence infrastructure. The Japanese conglomerate's losses reflected a broader trend following a fourth consecutive day of declines for the Nasdaq Composite, which fell by 0.46%. This drop was exacerbated by a significant 6% decrease in Apple’s stock, overshadowing Micron's unexpectedly strong earnings report. The adverse effects permeated the Asian semiconductor sector, with South Korea's SK Hynix witnessing a decline of over 3%, while Samsung Electronics also suffered a nearly 3% drop. Other affected firms included SK Square, which fell around 7%, and both LG Electronics and Seoul Semiconductor, which traded lower as well. In Japan, Advantest saw a decline exceeding 6%, with Tokyo Electron also down by more than 2%. Stateside, Apple led the market downturn after announcing price hikes for its MacBook and iPad, attributing this move to rising component costs, particularly in chips. This has intensified fears that escalating semiconductor prices may ultimately pressure the profit margins of major tech players. Additionally, Microsoft experienced a 3.5% decrease following its own price increases on Xbox consoles, with both Alphabet and Meta Platforms also joining the downward trend.