Google lifts 2026 capex forecast to $195B–$205B as cloud costs pressure margins
firstadopter · x · 2026-07-23
Google raised its 2026 capex outlook to $195–205 billion from $180–190 billion.
- The company also said in Q3 that it expects margin pressure because it is relying more on third parties for cloud capacity.
- The update signals that Google is still pushing hard on infrastructure spending even as it faces cost and margin tradeoffs.
This is a meaningful read on the pace of AI-related infrastructure investment and how it is affecting cloud economics.
Related event: Google Cloud Doubles in Q2 but AI Spending Turns Free Cash Flow Negative(60 posts)→
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