Key Points
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Combined capital spending from Microsoft, Alphabet, and Amazon could reach over $570 billion by 2026.
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Microsoft’s AI revenue is projected at $37 billion annually, reflecting a 123% increase from the previous year.
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In Q1 2026, Google Cloud’s revenue surged 63% to $20 billion, while Amazon Web Services grew 28% to $37.6 billion, marking its fastest growth in almost four years.
Combined capital spending from Microsoft, Alphabet, and Amazon is anticipated to exceed $570 billion by 2026, highlighting a significant commitment to AI and cloud technologies. Microsoft’s AI revenue has reached an impressive annual run rate of $37 billion, up 123% year-over-year. In its fiscal Q3 of 2026, Microsoft reported $82.9 billion in revenue, with cloud services increasing by 40%.
In the first quarter of 2026, Alphabet’s revenue rose 22% to $109.9 billion, with Google Cloud revenue jumping 63% to $20 billion. Meanwhile, Amazon reported a 17% increase in net sales, reaching $181.5 billion, with AWS revenue climbing 28% to $37.6 billion. This marks AWS’s fastest growth in nearly four years, reflecting strong demand for cloud services.
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