This week, the world's leading technology companies released their quarterly reports, immediately impacting the market. Within days, Alphabet, Meta, and Microsoft gained over $350 billion in market capitalization. Microsoft became the world’s second company to reach a $4 trillion valuation. Meta rose to nearly $2 trillion, and Alphabet also significantly increased its value. These companies announced unprecedented investments in AI and data centers — totaling over $400 billion by 2026.
A year ago, such investments were met with skepticism, but now investors have reacted positively. The reason—AI is beginning to generate real revenue. Meta has greatly improved ad targeting and effectiveness through AI, driving up ad prices by 10%. Microsoft and Google are showing rapid cloud division growth, with demand for services outpacing the construction of new data centers.
Amazon was an exception among tech giants, as its shares fell following slower AWS growth despite heavy spending. Apple also posted 10% revenue growth, but faces criticism for lagging in AI integration.
Trade tariffs introduced by the Trump administration have added pressure on global supply chains. All major companies are also under the scrutiny of antitrust investigations.
Much market interest centers on Nvidia, the key provider of processors for AI model training, which expects record revenue in the next quarter.
Analysts note that the current AI boom resembles past tech bubbles. Ultimately, companies that convert investment into sustainable profit will emerge as winners. Competition in AI is now central for tech giants and the broader global economy.
