Big Tech AI spending spree tops $1tn

Combined capital spending by Google, Amazon, Microsoft, and Meta from the beginning of the AI boom in 2023 through the end of June this year reached $1.1 trillion, the Financial Times reported, citing the companies’ financial statements.

According to the newspaper’s assessment, such spending reflects both the scale of their ambitions in artificial intelligence and the speed at which U.S. technology giants have transformed from companies with relatively low capital expenditures into major investors in physical infrastructure.

Together, the four companies plan to spend $745 billion in 2026, primarily on data centers, chips, and the electricity required to operate them.