Asian stock markets experienced a severe sell-off on Friday, extending a technology-led downturn from Wall Street that forced a temporary trading halt in South Korea. The turmoil was triggered by fears that Democratic midterm election victories could derail US President Donald Trump's ambitious AI investment drive, as newly elected governors in Texas and Georgia promised to halt or pause construction of data centers. The rout heavily impacted major Asian technology companies, particularly chipmakers that have benefited from the artificial intelligence boom. Shares of Taiwan Semiconductor Manufacturing Company (TSM) fell sharply alongside other semiconductor giants like Samsung Electronics and SK Hynix. The decline was part of a broader market correction where the Nasdaq Composite plunged 5.5% and the Philadelphia Semiconductor Index tumbled more than 12%. Investors are growing increasingly skeptical that massive spending on AI infrastructure will generate sufficient returns, wiping out an estimated $2 trillion from the Nasdaq-100 in October alone. While Asian markets recovered some early losses, they still closed sharply lower, with Taiwan's Taiex shedding 4.51%. Analysts suggest there may be an overreaction to the election outcome, but the immediate financial impact on TSM remains significant due to its exposure to the AI sector and US data center developments.