By Eric Bleeker
Publication Date: 2026-02-13 17:15:00
The AI infrastructure arms race has reached a staggering scale. Hyperscalers are collectively pouring approximately $700 billion into AI CapEx in 2026. Amazon (Nasdaq: AMZN) | AMZN Price Prediction just announced $200 billion in planned spend, Alphabet (Nasdaq: GOOGL) is projected $185, Meta Platforms (Nasdaq: META) up to $135 billion, and Microsoft will reveal an updated capex target closer to summer.
That kind of spending makes it “hard to bet against Nvidia,” as one analyst put it. But here’s the paradox: Nvidia (NASDAQ:NVDA) stock has struggled despite this thesis, up just 0.24% year-to-date while the broader AI infrastructure buildout accelerates. Let’s explore what’s going on and why stocks like Broadcom (Nasdaq: AVGO), Micron (Nasdaq: MU), and Bloom Energy (Nasdaq: BE) have seen stronger recent gains.
The $700 Billion Breakdown
Hyperscaler spending is concentrated among the mega-cap tech giants. Alphabet, Meta Platforms, Microsoft (NASDAQ:MSFT), and Amazon are deploying massive capital into AI infrastructure and cloud computing, with Microsoft’s Azure and Amazon’s AWS competing for AI workload dominance. Together, these hyperscalers are funding the largest technology infrastructure expansion in history.
Secondary spending comes from ‘neoclouds’ like CoreWeave and Nebius, while other projects like sovereign AI data centers add even more fuel to the rapidly growing spending pie.
The Nvidia Paradox
Nvidia should be the obvious winner….
