India, July 29 -- Wall Street is becoming less convinced that Big Tech's huge AI spending will pay off soon. Investors now want proof that billions of dollars being spent on artificial intelligence are leading to real profits instead of just bigger expenses.

Microsoft and Meta are under pressure as they prepare to report quarterly earnings on Wednesday. Investors are expected to focus less on revenue growth and more on whether the companies can justify their massive AI investments. The concern grew stronger after Alphabet's earnings last week. Although Google's parent company beat Wall Street expectations on many financial metrics, its stock suffered its biggest one-day drop in more than a year.

Alphabet's shares fell because of its soa...