Bloomberg Intelligence Big Tech to Spend $650 Billion This Year as AI Race Intensifies
Feb 6, 2026
Katherine Doherty, finance reporter on Wall Street pay; Ken Shea, consumer-products analyst; Poonam Goyal, e-commerce and retail analyst; Mandeep Singh, global tech research head. They dig into huge AI-driven CapEx plans and investor anxiety. They talk Amazon’s $200B shock, whether hyperscaler spending can sustain, retail winners versus headwinds, and rising Wall Street bonus pools.
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Episode notes
Hyperscaler CapEx Hits A Peak
- Hyperscaler CapEx is peaking with a massive jump to support AI infrastructure this year.
- Mandeep Singh expects growth to continue but at a lower rate after 2026's surge.
Investors Worry About AI Spend ROI
- Investors show anxiety because huge upfront AI spends threaten near-term free cash flow and ROIC.
- Mandeep Singh says the market is taking a leap of faith that these investments will pay off.
Treat CapEx Guidance As Flexible
- Consider CapEx plans flexible because companies can dial spending up or down based on demand and partnerships.
- Mandeep Singh notes customers like Anthropic and Apple affect who invests in additional compute.