A new study by MIT highlighting the challenges businesses face adopting generative AI, initially reported with nuance, was dramatically misrepresented by mainstream media outlets like Fortune, leading to a significant sell-off in tech stocks. While the study found only 5% of AI projects achieved rapid revenue growth, Fortune’s headline focused on a starkly different narrative: that 95% were failing without any measurable impact. This simplification sparked panic across trading desks and contributed to a major stock market decline. The article examines the fallout from this misinterpretation and how it underscores the sensitivity of AI markets to media coverage and the need for responsible reporting on emerging technologies.