The spending planned by Alphabet, Amazon, Meta, and Microsoft, mainly for new data centers and all the gear housed within them, is in pursuit of dominance in the market for AI tools and will set a high-water mark for capital spending by any single corporation in any one of the past 10 years.
The four companies “see the race to provide AI compute as the next winner-take-all or winner-takes-most market,” said Gil Luria, an analyst at DA Davidson. “And none of them is willing to lose.”
