Amazon, Google, Meta, and Microsoft poured $170 billion into data center infrastructure during Q2 2026, marking a 72% jump compared to last year. This spending spree is pushing their combined capital expenditure toward an eye-watering $1.5 trillion by the end of 2027.
Amazon led with $53 billion, up 69% year-over-year, and raised its full-year guidance to $220 billion, driven by soaring memory chip prices. Meta boosted its infrastructure budget by 55%, setting a new 2026 capex target of $130 billion. Chip cost inflation alone added tens of billions to the collective bills of these hyperscalers.
This massive outlay is reshaping the supply chain for semiconductor makers like Nvidia and AMD, whose output now heavily serves both AI infrastructure and crypto mining hardware a sector already feeling the squeeze. The competition for power is also ramping up. These tech giants are investing in new power generation facilities and locking in long-term energy contracts, which could impact crypto miners and energy markets alike.
With a $680 billion annual run rate, these companies’ spending impacts capital markets directly, competing for funds in debt and equity markets. The stakes are high as this infrastructure will underpin AI applications for the next decade, making every dollar spent a key bet on the future.
This material is informative and not financial advice.
