Goldman Sachs: Big Tech AI Spending to Reach $5.3 Trillion by 2030

AI Summary

Goldman Sachs estimates that Meta (META), Microsoft (MSFT), Amazon (AMZN), and Alphabet (GOOGL) will incur a combined capital expenditure of $5.3 trillion on AI from fiscal year 2025 to 2030, an increase from an earlier estimate of $4.5 trillion. In 2026 alone, these companies plan to spend $725 billion on capital expenditures, up 77% from $410 billion last year. Amazon projects $200 billion, Alphabet between $175 billion and $185 billion, and Microsoft around $190 billion in capex for the calendar year. This considerable investment in AI-related assets could positively impact their growth trajectories and balance sheets in the coming years.