Big Tech's combined CapEx surged to $201.9B in Q3 2026 while free cash flow turned negative, signaling massive AI infrastructure spending strains.
Macro & Markets ·
The combined capital expenditures of Amazon, Alphabet, Meta, and Microsoft reached $201.9 billion in Q3 2026, up $36.9 billion from the prior quarter and more than double the level a year prior. Their aggregate free cash flow fell to negative $26.4 billion last quarter, marking a record low and a decline of $88.2 billion year-over-year, with only Microsoft maintaining positive free cash flow during the period. These four companies have deployed $1.6 trillion on capital spending over the past three years and plan to invest another $232 billion in Q4, potentially bringing their 2026 total to $740 billion.