The Dow Jones industrial average lost 1.3 percent, the broad-based S&P 500 fell 1.6 percent and the tech-heavy Nasdaq fell 2 percent.
The losers were on several fronts, including the software sector, where Autodesk fell 4 percent.
Another loser was investment bank Morgan Stanley, down 4.9 percent.
The AI concern stems, among other things, from the risk that the new technology will eliminate existing business models and drive up unemployment, writes CNBC.
AI, which was the reason these stocks reached their highs and multiples that were heading toward the extreme - not overwhelmingly extreme - is now what is holding them back, analyst Jay Woods told CNBC.
