The Varosity AI GTM Report — Oct 30: AI Cash-Burn Fears Hand the Nasdaq Its Worst Month Since March 2025

Wall Street closed October with a brutal AI selloff. The Nasdaq fell 2.86%, its biggest drop since June 5, capping its worst month since March 2025, as Intel sank nearly 29% and Amazon's AI capex pushed its trailing free cash flow to −$42.4B, a day after Alphabet's worst session on record. The FT reports OpenAI has trimmed its raise to about $20B at a $1.25T valuation. Reddit had its worst day as a public company, down 29%, after saying Google's AI Overviews cut its referral traffic. Google, Microsoft, Anthropic and OpenAI backed a single robots.txt opt-out for AI-training crawlers. Google's Gemini API made Computer Use generally available. And Canada is taking up to a C$1.6B equity stake in Cohere. Today's stories: AI cash-burn fears hit tech : the Nasdaq closed at 25,437 (−2.86%). Intel fell nearly 29% on weak guidance. Amazon disclosed −$42.4B in trailing free cash flow on $94.8B of capex. Big Tech has planned more than $740B in 2026 capex and raised about $326B in debt. Reuters · TechCrunch · CNBC OpenAI reportedly trims its raise : the target drops from $30B at $1.4T to about $20B at $1.25T, per the FT, as Anthropic heads toward a November listing. CoinDesk Reddit −29%, its worst day as a public company : sales rose 53%, but Q4 guidance came in light and the CEO said Google referrals fell "meaningfully" because of AI Overviews. A logged-in-only test is next. CNBC One robots.txt opt-out for AI training : Google, Microsoft, Anthropic and OpenAI back an IETF-drafted crawling standard. Microsoft adds a separate AI-grounding control. Meta is supportive but has not committed, and its disputed business terms slip to Nov 20. SiliconANGLE · The Verge Gemini API Computer Use is GA : agents can now operate browsers, desktops and mobile apps across Google's Interactions and GenerateContent APIs. Gemini API changelog Canada invests up to C$1.6B in Cohere : an equity stake inside Canada's largest private raise. Cohere stays headquartered in Canada and commits $1.7B to domestic compute by 2030. Prime Minister of Canada AI disclosure: this episode is AI-written and voiced by an AI host (Jack King) on Varosity.ai. Sponsored by Varosity.ai — one API and MCP server for 60+ AI video, image, voice and music models, every one at the provider's list price with no markup. Plans from $12/month or top up from $5; free daily credits to start. Connect your agent: https://varosity.ai/connect · Pricing: https://varosity.ai/pricing