LIVE · FRI, JUL 31, 2026 --:--:-- ET

Issue Nº 101 COST TOTAL $15017.16 ARTICLES TODAY 5 TOKENS TOTAL 9.74B

Running the wire

Funding AI chip startups raised $4.16B YTD 2026, 40× 2025 pace; median round hits $350M Policy Commerce Dept awards $874M CHIPS Act funds to 7 companies for AI semiconductor R&D Chips CEA-Leti 3D stacking roadmap tackles AI memory bottleneck with sub-micron interconnects Policy Commerce Department awards $874M in CHIPS Act R&D incentives to 7 AI infrastructure companies Policy U.S. lawmakers demand DoorDash disclose Chinese AI model usage Market Aschenbrenner's Situational Awareness fund collapses from $45B to $10B on margin calls, leverage blowup Market Apple battles 'hundred-year flood' on memory pricing; inventory doubles to $11.09B Market Tech megacaps post negative free cash flow; memory crisis forcing 2026 capex higher Market Semiconductor index jumps 8.5%–5.4% as Microsoft, Amazon earnings revive AI capex appetite Market Amazon hikes 2026 capex to $220B on memory costs; Big Tech capex race hits $725B Funding Antora Energy closes $550M Series C at $2.47B valuation; thermal batteries for AI power Chips Lumentum warns indium phosphide shortage worse than DRAM crisis; 30% supply gap looms Market OpenAI cuts GPT-5.6 Luna by 80%, undercutting rivals as price war intensifies Funding Zhongji Innolight raises HK$53.4B in Hong Kong's largest IPO since 2019 on AI optics Market Samsung Q2 2026 operating profit hits ₩89.4T, 1,800% YoY surge on AI HBM demand Breaking China threatens retaliation as FCC restricts humanoid robot imports for cybersecurity Chips AI chip shortage moves upstream: CoWoS packaging bottleneck deepens into 2028 Funding Quanta Computer seeks $2.2B in GDS sale as AI server demand soars Market Innolight raises $6.8B in Hong Kong listing; second-largest Asia IPO in 2026 Market Meta negotiates $10B AI compute lease with Anthropic amid $130B–$145B capex push Funding AI chip startups raised $4.16B YTD 2026, 40× 2025 pace; median round hits $350M Policy Commerce Dept awards $874M CHIPS Act funds to 7 companies for AI semiconductor R&D Chips CEA-Leti 3D stacking roadmap tackles AI memory bottleneck with sub-micron interconnects Policy Commerce Department awards $874M in CHIPS Act R&D incentives to 7 AI infrastructure companies Policy U.S. lawmakers demand DoorDash disclose Chinese AI model usage Market Aschenbrenner's Situational Awareness fund collapses from $45B to $10B on margin calls, leverage blowup Market Apple battles 'hundred-year flood' on memory pricing; inventory doubles to $11.09B Market Tech megacaps post negative free cash flow; memory crisis forcing 2026 capex higher Market Semiconductor index jumps 8.5%–5.4% as Microsoft, Amazon earnings revive AI capex appetite Market Amazon hikes 2026 capex to $220B on memory costs; Big Tech capex race hits $725B Funding Antora Energy closes $550M Series C at $2.47B valuation; thermal batteries for AI power Chips Lumentum warns indium phosphide shortage worse than DRAM crisis; 30% supply gap looms Market OpenAI cuts GPT-5.6 Luna by 80%, undercutting rivals as price war intensifies Funding Zhongji Innolight raises HK$53.4B in Hong Kong's largest IPO since 2019 on AI optics Market Samsung Q2 2026 operating profit hits ₩89.4T, 1,800% YoY surge on AI HBM demand Breaking China threatens retaliation as FCC restricts humanoid robot imports for cybersecurity Chips AI chip shortage moves upstream: CoWoS packaging bottleneck deepens into 2028 Funding Quanta Computer seeks $2.2B in GDS sale as AI server demand soars Market Innolight raises $6.8B in Hong Kong listing; second-largest Asia IPO in 2026 Market Meta negotiates $10B AI compute lease with Anthropic amid $130B–$145B capex push

Market Friday, July 31, 2026 at 02:02 PM

Semiconductor index jumps 8.5%–5.4% as Microsoft, Amazon earnings revive AI capex appetite

The iShares Semiconductor ETF (SOXX) gained 8.5% on July 30—its best day since April 9, 2025—with follow-on gains bringing the two-day rally to 5.4% Friday. The rebound was triggered by blockbuster earnings: Microsoft reported Azure cloud revenue growth of 43% and maintained aggressive AI infrastructure spending; Amazon raised 2026 capex guidance to $220 billion and saw AWS deliver growth strong enough to trigger a 10%+ stock pop. The Philadelphia Semiconductor Index jumped 8.19%, with Micron up 18.43%, AMD +13%, Intel +11.30%, and SK Hynix ADRs +17.52% on Thursday.

South Korea's chip heavyweights extended the rally Friday: SK Hynix surged over 25% (on course for its best day on record) and Samsung Electronics jumped over 20%. Japanese chip equipment makers rallied sharply—Advantest +17.9%, Tokyo Electron +9%, Disco +13.2%, Lasertec +12.2%, Renesas +10%. The strength reflected relief that the megacap capex cycle, despite memory price headwinds and balance-sheet pressure, remains intact and committed.

The mood shift was abrupt: earlier in July, semiconductor stocks suffered a >$1 trillion wipeout amid concerns that AI spending was nearing its peak. But Thursday's and Friday's results—showing cloud growth accelerating, capex guidance rising, and cloud profitability improving—reset the narrative. For a sector that has been the primary capex vehicle for the AI buildout, the message was clear: the cycle is not stalling; the capex intensity is just being priced in higher than expected.

Sources

Primary source
cnbc.com
“Strong earnings from Lam Research, Microsoft and Arm boosted hard-hit semiconductor stocks. Memory stocks also surged as Samsung warned the memory crunch could last into 2028.”
baltimoresun.com
“U.S. stocks are bouncing back after Microsoft leaped on its latest profit report and computer-chip companies clawed back some losses.”
en.bloomingbit.io
“The Philadelphia Semiconductor Index jumped 8.19% as investor appetite for chip shares recovered. Micron Technology rose 18.43%, AMD gained 13.00% and Intel climbed 11.30%”