The article highlights three tech stocks whose dividend yields exceed the S&P 500 average of 1.1% while still benefiting from AI demand. IBM pays $6.76 per share a year, a 2.7% yield, has increased its payout for 31 straight years, and generated over $15 billion in free cash flow versus $6.3 billion in dividends, though its third-quarter revenue rose only 5% to $17 billion. Digital Realty, a data center REIT, yields 2.9% on a $4.88 annual dividend, having suspended payout hikes in 2022 to fund expansion, and its revenue rose 29% to $1.9 billion in the first half of 2026. Cisco pays $1.68 per share for a 1.6% yield, while its fiscal fourth-quarter revenue of $17 billion rose 18% as AI infrastructure demand grew. The article suggests these dividends appear sustainable based on the companies' cash flow.
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