News · Yahoo Finance

Big Tech’s Capex Needs “a Trillion Dollars of Revenue” by 2028. Barclays Sees About $400 Billion

Barclays’ Alex Altmann says AI needs about $1 trillion in revenue by the end of 2028 to pay for its capex, while Barclays expects AI revenue run rate of around $400 billion by then, leaving a $600 billion gap. Until that gap closes, free cash flow at Amazon, Alphabet and Meta will stay under pressure, and investors are now pricing these companies on cash. Amazon's free cash flow was negative $42.4 billion over the 12 months to September, Alphabet's was negative $9.1 billion in the September quarter, and Microsoft generated almost $19 billion. Amazon's long-term debt rose to about $173 billion at end-September from about $66 billion at end-2025, while its AWS backlog reached $578 billion.

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Related tickers and likely impact

AMZN

▼ Likely negative

Amazon

Relevance: medium

MarketUS stocks
SectorConsumer Discretionary
IndustryBroadline Retail
Market cap$2.7T
Close on 10/30/2026240.47
Change that session-1.36%
AMZN price, forecasts and signals →

GOOGL

▼ Likely negative

Alphabet Inc. (Class A)

Relevance: medium

MarketUS stocks
SectorCommunication Services
IndustryInteractive Media & Services
Market cap$4.0T
Close on 10/30/2026279.76
Change that session-1.43%
GOOGL price, forecasts and signals →

META

▼ Likely negative

Meta Platforms

Relevance: medium

MarketUS stocks
SectorCommunication Services
IndustryInteractive Media & Services
Market cap$1.7T
Close on 10/30/2026614.98
Change that session-1.53%
META price, forecasts and signals →

MSFT

▼ Likely negative

Microsoft

Relevance: medium

MarketUS stocks
SectorInformation Technology
IndustrySystems Software
Market cap$3.9T
Close on 10/30/2026521.90
Change that session-1.55%
MSFT price, forecasts and signals →

NVDA

• Neutral

Nvidia

Relevance: low

MarketUS stocks
SectorInformation Technology
IndustrySemiconductors
Market cap$5.1T
Close on 10/30/2026204.81
Change that session-4.14%
NVDA price, forecasts and signals →

Impact is scored by AI from the headline and may be wrong. It is not investment advice.

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