"Combined, they spent $130.65 billion on capital expenditures in the first three months of 2026-more than three times the inflation-adjusted cost of the Manhattan Project, in a single quarter."
"Nearly half of Alphabet's record profit-about $28.7 billion-did not come from search ads, cloud services or any of its products at all."
"Amazon disclosed a similar figure even more directly. Its earnings release stated that first-quarter net income 'includes pre-tax gains of $16.8 billion included in non-operating income from our investments in Anthropic'."
"The company's $8 billion investment in Anthropic is now worth more than $70 billion, according to Amazon."
Four major U.S. tech companies reported substantial earnings, revealing a historic AI capital expenditure of $130.65 billion in Q1 2026. They plan to invest nearly $700 billion this year, comparable to U.S. Medicare spending. While profits surged, a significant portion stemmed from equity valuations in private companies, particularly Anthropic. Alphabet's profit included $28.7 billion from equity updates, while Amazon's earnings featured $16.8 billion from similar investments. These figures highlight the financial impact of AI investments on traditional revenue streams.
Read at Fortune
Unable to calculate read time
Collection
[
|
...
]