Google, Microsoft, Meta, and Amazon capex spending to hit $725 billion in 2026, up 77% from last year — analyst says bear thesis is 'garbage'

Google, Microsoft, Meta, and Amazon are projected to collectively spend $725 billion on capex in 2026, a 77% increase from last year. Google saw strong cloud revenue growth, while rising memory chip prices impacted spending forecasts for Microsoft and Meta. Analysts believe the AI economy is robust, dismissing bearish perspectives. Alphabet's net income surged, with Google Cloud outpacing competitors and the company's capex guidance rising to $190 billion. Shares of Alphabet rose 7% after hours, pushing the company towards a record $4.3 trillion market valuation.