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Source: Bloomberg
Summary
Amazon plans to spend $200 billion in capital expenditures (capex) in 2026, followed closely by Google’s estimated $175 billion to $185 billion. This significant investment is expected to fuel their growth and expansion.
Our Reading
The launch follows a familiar script. Amazon and Google are pouring billions into their respective futures, but we’ve seen this before. In 2019, Amazon announced a $10 billion capex plan, which ultimately led to a mixed bag of results. Google’s $12.5 billion investment in 2017 also yielded varying degrees of success.
These tech giants are rebranding the same old ideas as “progress.” We’re told they’re creating jobs, driving innovation, and revolutionizing industries, but let’s not forget the usual suspects: AI, machine learning, and “disruption.” The truth is, these companies are just refining their existing products and services.
Amazon’s $200 billion plan is a drop in the bucket compared to their overall revenue, and Google’s estimates are likely a conservative number. We’ll have to wait and see how these investments pan out, but history suggests it’s more likely to be a rehashing of old ideas than a groundbreaking innovation.
