---
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id: "28881d041b0bcc0a5dd154728b0206d97e136975cb117a8d64bcfd1fdac151c4"
canonical_url: "https://aidr.today/28881d04?lang=en"
title: "AI Capex Tops $1.3 Trillion by 2027, Surpassing US Defense Budget for First Time"
lang: "en"
requested_lang: "en"
available_langs: ["en","vi"]
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published_at: "2026-08-27T14:57:37.000Z"
category: "Industry"
topics: ["funding","infra","google","microsoft","meta","amazon"]
source_urls: ["https://huggingnews.com/ai/ai-capex-tops-13-trillion-by-2027-surpassing-us-defense-budget-for-first-36e4b219","https://x.com/wallstengine/status/2092946562905424159","https://x.com/financialjuice/status/2092946091159265529","https://x.com/KobeissiLetter/status/2092957954119000214"]
summary: "Alphabet, Amazon, Microsoft, Meta, Oracle and SpaceX will generate negative free operating cash flow through 2027, S&P Global Ratings forecasts. AI infrastructure investment will top $1.3 trillion by 2027, forcing these firms to rely on debt, leases, equity, joint ventures, special purpose vehicles and guarantees for funding. S&P models 2028 as a potential inflection point, with a full cash flow recovery arriving in 2029. High tech capital spending reached 55.2% of total nominal US capital spending in the second quarter of 2026, the highest proportion since 1960. Combined capex for Amazon, Google, Microsoft and Meta will surpass $1.1 trillion by 2027 and exceed the annual US defense budget of about $900 billion for the first time."
---

# AI Capex Tops $1\.3 Trillion by 2027, Surpassing US Defense Budget for First Time

> [Open the canonical story](<https://aidr.today/28881d04?lang=en>)

**Published:** 2026-08-27T14:57:37.000Z
**Category:** Industry
**Topics:** funding, infra, google, microsoft, meta, amazon

## Summary

Alphabet, Amazon, Microsoft, Meta, Oracle and SpaceX will generate negative free operating cash flow through 2027, S&amp;P Global Ratings forecasts\. AI infrastructure investment will top $1\.3 trillion by 2027, forcing these firms to rely on debt, leases, equity, joint ventures, special purpose vehicles and guarantees for funding\. S&amp;P models 2028 as a potential inflection point, with a full cash flow recovery arriving in 2029\. High tech capital spending reached 55\.2% of total nominal US capital spending in the second quarter of 2026, the highest proportion since 1960\. Combined capex for Amazon, Google, Microsoft and Meta will surpass $1\.1 trillion by 2027 and exceed the annual US defense budget of about $900 billion for the first time\.

## Sources

- [Story source](<https://huggingnews.com/ai/ai-capex-tops-13-trillion-by-2027-surpassing-us-defense-budget-for-first-36e4b219>)
- [Story source](<https://x.com/wallstengine/status/2092946562905424159>)
- [Supporting source](<https://x.com/financialjuice/status/2092946091159265529>)
- [Supporting source](<https://x.com/KobeissiLetter/status/2092957954119000214>)