Business
How the S&P 500 Stock Index Became So Skewed to Tech and A.I.
Nvidia, the chipmaker that became the world’s most valuable public company two years ago, was alone worth more than $4.75 trillion as of Thursday morning. Its value, or market capitalization, is more than double the combined worth of all the companies in the energy sector, including oil giants like Exxon Mobil and Chevron.
The chipmaker’s market cap has swelled so much recently, it is now 20 percent greater than the sum of all of the companies in the materials, utilities and real estate sectors combined.
What unifies these giant tech companies is artificial intelligence. Nvidia makes the hardware that powers it; Microsoft, Apple and others have been making big bets on products that people can use in their everyday lives.
But as worries grow over lavish spending on A.I., as well as the technology’s potential to disrupt large swaths of the economy, the outsize influence that these companies exert over markets has raised alarms. They can mask underlying risks in other parts of the index. And if a handful of these giants falter, it could mean widespread damage to investors’ portfolios and retirement funds in ways that could ripple more broadly across the economy.
The dynamic has drawn comparisons to past crises, notably the dot-com bubble. Tech companies also made up a large share of the stock index then — though not as much as today, and many were not nearly as profitable, if they made money at all.
How the current moment compares with past pre-crisis moments
To understand how abnormal and worrisome this moment might be, The New York Times analyzed data from S&P Dow Jones Indices that compiled the market values of the companies in the S&P 500 in December 1999 and August 2007. Each date was chosen roughly three months before a downturn to capture the weighted breakdown of the index before crises fully took hold and values fell.
The companies that make up the index have periodically cycled in and out, and the sectors were reclassified over the last two decades. But even after factoring in those changes, the picture that emerges is a market that is becoming increasingly one-sided.
In December 1999, the tech sector made up 26 percent of the total.
In August 2007, just before the Great Recession, it was only 14 percent.
Today, tech is worth a third of the market, as other vital sectors, such as energy and those that include manufacturing, have shrunk.
Since then, the huge growth of the internet, social media and other technologies propelled the economy.
Now, never has so much of the market been concentrated in so few companies. The top 10 make up almost 40 percent of the S&P 500.
How much of the S&P 500 is occupied by the top 10 companies
With greater concentration of wealth comes greater risk. When so much money has accumulated in just a handful of companies, stock trading can be more volatile and susceptible to large swings. One day after Nvidia posted a huge profit for its most recent quarter, its stock price paradoxically fell by 5.5 percent. So far in 2026, more than a fifth of the stocks in the S&P 500 have moved by 20 percent or more. Companies and industries that are seen as particularly prone to disruption by A.I. have been hard hit.
The volatility can be compounded as everyone reorients their businesses around A.I, or in response to it.
The artificial intelligence boom has touched every corner of the economy. As data centers proliferate to support massive computation, the utilities sector has seen huge growth, fueled by the energy demands of the grid. In 2025, companies like NextEra and Exelon saw their valuations surge.
The industrials sector, too, has undergone a notable shift. General Electric was its undisputed heavyweight in 1999 and 2007, but the recent explosion in data center construction has evened out growth in the sector. GE still leads today, but Caterpillar is a very close second. Caterpillar, which is often associated with construction, has seen a spike in sales of its turbines and power-generation equipment, which are used in data centers.
One large difference between the big tech companies now and their counterparts during the dot-com boom is that many now earn money. A lot of the well-known names in the late 1990s, including Pets.com, had soaring valuations and little revenue, which meant that when the bubble popped, many companies quickly collapsed.
Nvidia, Apple, Alphabet and others generate hundreds of billions of dollars in revenue each year.
And many of the biggest players in artificial intelligence these days are private companies. OpenAI, Anthropic and SpaceX are expected to go public later this year, which could further tilt the market dynamic toward tech and A.I.
Methodology
Sector values reflect the GICS code classification system of companies in the S&P 500. As changes to the GICS system took place from 1999 to now, The New York Times reclassified all companies in the index in 1999 and 2007 with current sector values. All monetary figures from 1999 and 2007 have been adjusted for inflation.
Business
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April 18, 2026
Business
Civil case against Alec Baldwin, ‘Rust’ movie producers advances toward a trial
Nearly two years after actor Alec Baldwin was cleared of criminal charges in the “Rust” movie shooting death, a long simmering civil negligence case is inching toward a trial this fall.
On Friday, a Los Angeles Superior Court judge denied a summary judgment motion requested by the film producers Rust Movie Productions LLC, as well as actor-producer Baldwin and his firm El Dorado Pictures to dismiss the case.
During a hearing, Superior Court Judge Maurice Leiter set an Oct. 12 trial date.
The negligence suit was brought more than four years ago by Serge Svetnoy, who served as the chief lighting technician on the problem-plagued western film. Svetnoy was close friends with cinematographer Halyna Hutchins and held her in his arms as she lay dying on the floor of the New Mexico movie set. Baldwin’s firearm had discharged, launching a .45 caliber bullet, which struck and killed her.
The Bonanza Creek Ranch in Santa Fe, N.M. in 2021.
(Jae C. Hong / Associated Press)
Svetnoy was the first crew member of the ill-fated western to bring a lawsuit against the producers, alleging they were negligent in Hutchins’ October 2021 death. He maintains he has suffered trauma in the years since. In addition to negligence, his lawsuit also accuses the producers of intentional infliction of emotional distress.
Prosecutors dropped criminal charges against Baldwin, who has long maintained he was not responsible for Hutchins’ death.
“We are pleased with the Court’s decision denying the motions for summary judgment filed by Rust Movie Productions and Mr. Baldwin,” lawyers Gary Dordick and John Upton, who represent Svetnoy, said in a statement following the hearing. “He looks forward to finally having his day in court on this long-pending matter.”
The judge denied the defendants’ request to dismiss the negligence, emotional distress and punitive damages claims. One count directed at Baldwin, alleging assault, was dropped.
Svetnoy has said the bullet whizzed past his head and “narrowly missed him,” according to the gaffer’s suit.
Attorneys representing Baldwin and the producers were not immediately available for comment.
Svetnoy and Hutchins had been friends for more than five years and worked together on nine film productions. Both were immigrants from Ukraine, and they spent holidays together with their families.
On Oct. 21, 2021, he was helping prepare for an afternoon of filming in a wooden church on Bonanza Creek Ranch. Hutchins was conversing with Baldwin to set up a camera angle that Hutchins wanted to depict: a close-up image of the barrel of Baldwin’s revolver.
The day had been chaotic because Hutchins’ union camera crew had walked off the set to protest the lack of nearby housing and previous alleged safety violations with the firearms on the set.
Instead of postponing filming to resolve the labor dispute, producers pushed forward, crew members alleged.
New Mexico prosecutors prevailed in a criminal case against the armorer, Hannah Gutierrez, in March 2024. She served more than a year in a state women’s prison for her involuntary manslaughter conviction before being released last year.
Baldwin faced a similar charge, but the case against him unraveled spectacularly.
On the second day of his July 2024 trial, his criminal defense attorneys — Luke Nikas and Alex Spiro — presented evidence that prosecutors and sheriff’s deputies withheld evidence that may have helped his defense . The judge was furious, setting Baldwin free.
Variety first reported on Friday’s court action.
Business
California’s gas prices push Uber and Lyft drivers off the road
The highest gas prices in the country are making it tougher for some gig drivers to make a living.
Gas prices have shot up amid the war in the Middle East. On average, California gas prices are the most expensive in the United States, according to data from the American Automobile Assn. The average price of regular gas in California is almost $6. The national average is a little above $4.
While Uber and Lyft drivers have concocted clever ways to cut gas consumption, they say that without some relief they will be forced to leave the ride-hailing business.
John Mejia was already struggling to make money as a part-time Lyft driver when soaring gas prices made his side hustle even harder.
“Unfortunately, it’s the economics of paying less to drivers and gas prices,” he said. “It actually is pulling people out of the business.”
Guests at The Westin St. Francis hotel get into an Uber.
(Jess Lynn Goss / For The Times)
Gig work offers drivers the freedom to work for themselves and more flexibility, but being independent contractors also means they must shoulder unexpected costs.
Ride-sharing companies say they’re trying to help, but drivers say the gas relief comes with caveats. For now, drivers say they’re being pickier about what rides they accept, cutting hours and are looking at other ways to make money.
Mejia, who started driving for Lyft more than a decade ago, said in his early days, he would sometimes make $400 in three hours. Now it takes 12 hours to rake in $200.
The San Francisco Bay Area consultant is an active member of the California Gig Workers Union, so he knows he isn’t alone. California has more than 800,000 gig rideshare drivers, according to the group, which is affiliated with the Service Employees International Union.
On social media sites such as Reddit and Facebook, gig workers have posted about how the higher gas prices are eating into their earnings. Among the tricks they are suggesting: reducing the number of times the ignition is turned on or off, avoiding traffic, working in specific neighborhoods and at times with high demand and switching to electric vehicles.
Gig drivers usually have only seconds to decide whether to accept a ride on the app, but they have become more strategic about which rides and deliveries they accept.
That means they are more likely to sit back in their cars and wait for higher fares for quick pick-up and drop-off.
“I highly recommend the ‘decline and recline’ strategy, rejecting unprofitable rides until a better one appears,” wrote Sergio Avedian, a driver, in the popular blog the Rideshare Guy.
Pedestrians cross the street in front of a Lyft and Uber driver on Wednesday. High gas prices have made it hard for gig drivers to make a living, cutting into their profits.
(Jess Lynn Goss / For The Times)
Uber, Lyft and other companies have unveiled several ways to help drivers save on gas.
Uber said drivers can get up to 15% cash back through May 26 with the Uber Pro card, a business debit Mastercard for drivers and couriers. Based on a worker’s tier, they can get up to $1 off per gallon of gas through Upside — an app that offers cash rewards — and up to 21 cents off per gallon of gas with Shell Fuel Rewards. The company also offers incentives for drivers who want to switch to electric vehicles.
“We know the price of gas is top of mind for many rideshare and delivery drivers across the country right now,” Uber said in a blog post about its gas savings efforts.
Lyft also said it’s expanding gas relief through May 26 because the company knows that the extra cost “hits hardest for drivers who depend on driving for their income.”
The company is offering more cash back, depending on the driver’s tier, for drivers who use a Lyft Direct business debit card to pay for gas at eligible gas stations. They can get an additional 14 cents per gallon off through Upside.
Drivers say the fine print on the offers dictates which card they use and where they fill up gas, making it difficult for them to save money.
“If I do the math, it’s ridiculous,” Mejia said. “They’re offering us nothing.”
Uber declined to comment, but pointed to its blog post about the gas relief efforts. Lyft also referenced the blog post and said “the gas savings were structured through rewards to maximize stackable opportunities.”
Guests at The Westin St. Francis hotel get into an Uber.
(Jess Lynn Goss / For The Times)
Gig workers have struggled with rising gas prices in the past.
In 2022, Lyft and Uber temporarily added a surcharge to their fares amid record-high gas prices following Russia’s invasion of Ukraine. This year, Uber is adding a fuel charge to its fares in Australia for roughly two months to offset the high cost of gas for drivers. Lyft said it hasn’t added a fuel charge in the U.S. or elsewhere.
Margarita Penalosa, who drives full time for Uber and Lyft in Los Angeles, started as a rideshare driver in 2017. Back then, gas was cheaper. She would easily hit her goal of making $300 in eight hours. Now she’s making just $250 after working as much as 14 hours.
Gas prices, she said, used to be less than $3 per gallon. Now some gas stations are charging more than $8 per gallon.
“Take out the gas. Take out the mileage from my car and maintenance. How much [do] I really make? Probably I get $11 for an hour,” she said.
Jonathan Tipton Meyers wants to spend fewer hours as a rideshare driver.
He already juggles multiple gigs even while driving for Uber and Lyft in Los Angeles. He’s a mobile notary and loan signing agent, a writer and performer.
Driving is “a very challenging, full-time job,” he said. “It’s very taxing and, of course, wages were just continually decreasing.”
John Mejia, a longtime Lyft and Uber driver, poses for a portrait before attending a meeting about unionizing gig drivers.
(Jess Lynn Goss / For The Times)
Even if oil continues to flow through the Strait of Hormuz, which Iran reopened Friday, it could take a while for gas prices to come down to earth, said Mark Zandi, the chief economist at Moody’s Analytics.
“There’s an old adage that prices rise like a rocket and fall like a feather,” he said. “I think that’ll apply.”
In the meantime, it will be survival of the fittest drivers. If enough of them decide to leave the apps, the ride-hailing companies could be forced to raise fares further to attract some back.
“Those who approach rideshare driving strategically, tracking expenses, choosing trips carefully, and optimizing efficiency are far more likely to weather periods of high gas prices,” wrote Avedian in the Rideshare Guy blog. “For everyone else, a spike at the pump can quickly turn rideshare driving from a side hustle into a money-losing venture.”
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