Indian AI and Infrastructure Stocks Drop Up to 5% Following Broad Global Tech Rout

Domestic equities linked to artificial intelligence, cloud computing, and power infrastructure came under heavy selling pressure on Tuesday, as a steep sell-off in global technology and semiconductor shares spilled into Asian markets.

The decline was led by specialized infrastructure, cloud hosting, and real estate data centre providers, with several counters sliding by as much as 5.5% in intraday trade before paring some losses.

Intraday Performance of Key AI-Linked Names:

• Hitachi Energy India: Dropped as much as 5.46% intraday, trading around Rs 29,925 on the NSE, down 4.36% from the previous close.
• E2E Networks: Plunged 4.00% to trade around Rs 706.20.
• Anant Raj: Slipped 1.76% to Rs 559.50 as data centre capacity plays faced scrutiny.
• Black Box: Slid 1.51% to quote at Rs 910.60.
• Orient Technologies: Declined 0.98% to Rs 227.48.

The broader energy infrastructure basket mirrored the sluggish tone, with the Nifty Energy index declining 0.42% to 35,705.80.

Global Tech Rout Sparks Reassessment

The domestic weakness tracked an aggressive wave of risk aversion across Asian bourses. South Korea’s KOSPI plunged more than 6%—recording its steepest single-day slump since July—as heavyweights like Samsung Electronics faced aggressive liquidation. Japan's Nikkei fell 2.6%, Taiwan's market lost 2%, and the MSCI Asia-Pacific outside Japan index dropped more than 2% to hit a two-month low.

Global investors have grown increasingly skeptical of elevated technology valuations, capital expenditure sustainability, and escalating competition across AI hardware and software architectures. In China, Shanghai’s tech-heavy STAR Market has now lost more than a third of its value from its July highs.

Impact on the Indian Market Landscape

Indian thematic plays—spanning GPU cloud operators like E2E Networks to data centre developers such as Anant Raj and grid suppliers like Hitachi Energy—have commanded rich multiples due to India's burgeoning data localisation drive and power infrastructure needs. The sudden pullback in global bellwethers has forced domestic institutional and retail market participants to reassess these aggressive growth projections.

Conversely, the broader Indian equity indices found counterbalancing support. Traditional IT service exporters emerged as an "anti-AI" defensive rotation trade, buffering headline benchmark indices even as thematic and high-beta AI infrastructure counters corrected. Market analysts suggest that while long-term demand for domestic AI compute and server infrastructure remains intact, valuations may experience further consolidation if global technology risk-off sentiment persists.

Tags: Hitachi Energy India E2E Networks Anant Raj Black Box Orient Technologies Nifty Energy