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Alphabet, Meta, Microsoft set to spend $230 billion this year as hefty AI bills come under scrutiny

Yahoo Finance
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Tech giants are expecting a cumulative $228 billion in capital expenditures in 2025 .

That’s a 55% increase from the roughly $150 billion those companies reported spending in 2024 .

Tech giants contend all this spending will pay off in the long run.

Investors aren't so sure because the revenue generated directly from the companies’ AI features remains unclear.

Morgan Stanley analysts said the growing expenditures from tech firms are “bolstering the bull case for AI /cloud capex stocks.” Laura Bratton is a reporter for Yahoo Finance . Follow her on Bluesky @laurabratton.bsky.social. Email her at [email protected]..