2026-07-05 15:57:27
AI Capex to Hit Record $1.1 Trillion in 2027, Forecast to Surpass U.S. Defense Spending for First Time
According to The Kobeissi Letter on July 5, combined AI capital expenditures by Alphabet, Amazon, Meta, Microsoft, and Oracle are projected to reach approximately $1.1 trillion in 2027, representing 3.2% of U.S. GDP. If realized, this would mark the first time annual AI capex exceeds U.S. defense