Big tech companies are pouring trillions of dollars into AI infrastructure but still rely on advertising, business software and e-commerce to fund it. This quarter, free cash flow was negative at Meta (-$2.12 billion), Amazon (-$42.4 billion) and Alphabet (-$9.07 billion), while Microsoft remained the only hyperscaler still positive, though its figure fell 27% to $18.63 billion. Amazon's online sales rose just 2%, below analysts' estimates, and it expects capital expenditures to reach $220 billion this year. Meta says capex could reach as high as $145 billion this year, and it plans to raise $95 billion in stock to support AI investment. Alphabet's core search business grew slower for a third straight quarter and missed projections, raising concerns that AI could displace its main revenue sources, though some investors argue its existing businesses remain strong enough to support the spending.
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NVDAartificial intelligenceAI investmentdata centerstech stocks
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Related tickers and likely impact
NVDA
▲ Likely positiveNvidia
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.1T |
| Close on 10/29/2026 | 213.72 |
| Change that session | -0.77% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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