Here’s another rewritten version with a tighter, more polished market-news tone:

Capital is rotating out of the largest technology names and Bitcoin as investors shift toward semiconductors, memory chips, and space-related assets tied to the AI infrastructure buildout.

The AI-driven growth narrative behind the Magnificent 7 is coming under increasing pressure.

After years of market leadership, these mega-cap stocks are now weakening as investors reassess the scale and sustainability of AI-related spending, rotating into segments showing stronger momentum.

Microsoft (MSFT) has fallen 33% from recent highs, while Meta (META) is down 28%. Tesla (TSLA), Amazon (AMZN), Nvidia (NVDA), and Alphabet (GOOGL) are all more than 10% lower, with Apple (AAPL) comparatively resilient, down about 7%.

The rotation is also evident in crypto, where Bitcoin (BTC) has dropped roughly 50% from its October peak.

Rather than leaving AI exposure entirely, capital is moving deeper into the supply chain. That includes semiconductor companies—particularly memory-chip makers—as well as data center infrastructure and related real estate supporting AI compute demand.

Performance in this segment has been outsized. Sandisk (SNDK) has surged roughly 800% year-to-date, while the Global X Artificial Intelligence & Technology ETF focused on memory names is up about 140%. Micron Technology (MU) has gained around 230%, and the VanEck Semiconductor ETF (SMH) has risen about 67%.

The shift underscores growing preference for AI infrastructure providers over hyperscalers funding the expansion.

Investor flows have also extended into SpaceX (SPCX), Elon Musk’s space-focused company increasingly viewed as part of the broader AI infrastructure ecosystem. The firm recently raised $75 billion in what is being described as the largest IPO on record.

While AI remains the dominant market theme, funding requirements continue to accelerate. Alphabet (GOOGL), Amazon, Microsoft, and Meta are expected to spend a combined $725 billion in capital expenditures this year, up 77% from last year’s record.

However, free cash flow is no longer fully covering that spending. Alphabet, Amazon, and Meta collectively raised about $93 billion in debt last year, accounting for roughly 6% of total corporate bond issuance.

At the same time, another key support has weakened, with share buybacks falling 33% to $132 billion in 2025.

Taken together, the narrative has shifted from broad AI enthusiasm to capital rotation. Investors are moving out of the Magnificent 7 and Bitcoin, and into semiconductors, memory chips, and space-linked assets viewed as the next phase of the AI investment cycle.