AI integration in content creation and advertising platforms could accelerate revenue growth for major holdings like Meta Platforms and Alphabet. Expansion of 5G networks and streaming services positions the sector for sustained demand in data consumption and entertainment.

XLC rose approximately +3.5% over the last 30 days, recovering from late-March lows amid a rebound in top holdings like Meta Platforms and Alphabet following AI capex concerns. Over the past quarter, the ETF declined -4.9%, reflecting weak sector performance driven by media and entertainment losses offset partially by telecom gains.

Pinterest is hoping to raise as much as $1.5 billion in its initial offering of shares. The digital photo and social media site said in a regulatory filing that it will put about 75 million shares up for sale at a price between $15 and $17 each. This price range, at the higher end, could put the value of the company at around $9 billion, below the estimated $12 billion value from earlier sales of shares to investors, according to reports two years ago.