Google, Amazon, and Meta All Just Raised Capex Guidance Again. This Boring Industrial Wins No Matter Whose AI Infrastructure Is Best.
Just be sure to look more than a year down the road.
Artificial intelligence (AI) spending among major tech companies shows no signs of slowing down, with capital expenditure (capex) guidance rising once again. Alphabet (Google), Amazon, and Meta have all increased their AI-related investments, signaling confidence in the future of AI technology.
Alphabet's parent company, Google, recently raised its 2026 capex forecast from an initial range of $180 billion to $190 billion to a new range of $195 billion to $205 billion. Amazon also boosted its capex outlook for the current year from a previous estimate of $200 billion to a new estimate of $220 billion. Meta, the parent company of Facebook, is further investing in AI by issuing new debt to fund its AI initiatives.
While these increased spending plans bode well for Nvidia, the company that still dominates the production of processors used in AI data centers, the news also brings good news to other indirect beneficiaries. Vertiv, which offers power-distribution and chip-cooling solutions for AI data centers, and GE Vernova, which manufactures electricity-generating natural gas turbines for powering entire AI data centers, stand to benefit from the growing demand for AI infrastructure.
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