STOCKS | European AI-Related Shares Fall on Calls to Slow Development

European semiconductor and data center-related stocks fell on Monday after top executives at major global AI companies called for a slower pace of technology development on safety grounds. According to Sina Finance, the Stoxx 600 technology index dropped 1.5%, making it Europe’s worst-performing sector. UBS’s European semiconductor basket fell 5.6%, with declines in Soitec, Aixtron, Technoprobe, Infineon, ASM International, BE Semiconductor, and ASML. Barclays’ European AI data center basket lost 4.2%, including Prysmian, Nokia, Legrand, Schneider Electric, and Siemens. Software shares and companies seen as exposed to AI disruption outperformed. UBS’s software basket rose 3.1%, while UBS’s EU AI risk basket gained 2.4%. Executives at leading global AI platform companies said the pace of development for their most advanced and most profitable models should slow as the technology’s risks continue to rise.