Asian technology shares have faced significant pressure as investors grow increasingly cautious, reflecting a broader Wall Street selloff triggered by mounting skepticism over artificial intelligence’s near-term potential. Concerns around the hype surrounding AI innovations have led traders to trim exposures, particularly in high-valuation tech stocks formerly buoyed by optimism. Meanwhile, ongoing governmental policy uncertainties within key Asian markets have added another layer of volatility, spurring further reticence among institutional buyers. This cocktail of factors has weighed heavily on major indexes, with losses broad-based across semiconductor firms, software developers, and hardware manufacturers.

  • Corporate earnings: Mixed quarterly results from leading AI-dependent companies dampened enthusiasm.
  • Regulatory outlook: Ambiguous government frameworks in China and South Korea fueled apprehension.
  • Global market linkages: Declines in U.S. tech giants triggered…