US tech giants face cash crunch as free cash flow hits 10-year low amid AI strategic investments

Glonghui, May 8｜Amid massive artificial intelligence investment strategies, major US technology companies are holding their lowest cash reserves in the past decade this year. Wall Street analysts estimate that the total free cash flow of Amazon, Alphabet, Microsoft, and Meta will fall to about $4 billion in the third quarter. These companies are currently raising funds for massive investments through layoffs, reducing shareholder returns, borrowing, and other measures.