Morgan Stanley says market concern that the US election could slow data‑center construction has driven an overdone sell‑off in AI-related stocks. The bank says AI spending may continue to expand and that roughly 5 GW of US data‑center planned capacity targeted for 2028 could be delayed to 2029 rather than cancelled, leaving hyperscale cloud providers' spending plans largely intact. Analysts say the delay could extend the AI investment cycle by easing supply constraints and supporting pricing; th

Morgan Stanley says market concern that the US election could slow data‑center construction has driven an overdone sell‑off in AI-related stocks. The bank says AI spending may continue to expand and that roughly 5 GW of US data‑center planned capacity targeted for 2028 could be delayed to 2029 rather than cancelled, leaving hyperscale cloud providers' spending plans largely intact. Analysts say the delay could extend the AI investment cycle by easing supply constraints and supporting pricing; the team remains constructive on Amazon, Microsoft, Meta and Google and sees opportunities across semiconductors, infrastructure and software.