Wall Street’s tech unwind accelerated Thursday, erasing more than $500 billion in market value across 10 heavyweight names.

But unlike recent pullbacks triggered by broad-based software stocks selloff, Thursday’s fall also hit legacy hardware giants.

According to Coinmarketcap.com, here are the 10 largest single-day market cap loss within the tech sector on Thursday:

Fears over AI disruption continue to rattle the software sector.

The iShares Expanded Tech-Software Sector ETF (NYSE:IGV) dropped more than 3% Thursday, revisiting lows last seen last week. Year to date, the industry is down over 20%.

But Thursday’s broader tech slump had a clear catalyst: Cisco earnings

Cisco plunged 11% despite topping expectations. The company reported earnings of $1.04 per share, beating the $1.02 consensus.

Revenue came in at $15.35 billion, above estimates of $15.11 billion, supported by strength in networking.

The problem was margins.

Goldman Sachs analyst Michael Ng highlighted that Cisco’s networking revenue grew 21% year over year and orders accelerated above 20%. Yet fiscal third-quarter gross margin guidance of 65.5%-66.5% missed the 68% consensus, reflecting a heavier hardware mix and higher commodity costs.

Management cited memory inflation and pledged pricing actions and long-term supply agreements through fiscal 2026.

Then China’s tech giant Lenovo confirmed the risk of mounting pressure on PC shipments amid worsening memory shortages.

CEO Yang Yuanqing told Reuters on Thursday the company expects unit pressure but aims to maintain profitability.

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