TrendForce said today that the capital expenditures of the world's nine largest cloud service providers (CSPs) remain high, with substantial funds being invested in computing infrastructure to meet growing AI demand.
The organization expects the total capital expenditures of Alphabet, Amazon, Meta, Microsoft, Oracle, Alibaba, Baidu, ByteDance, and Tencent this year to exceed 886.7 billion US dollars (approximately 5.99 trillion yuan at current exchange rates), up 90% year over year; in 2027, they are expected to grow another 49% from this high base, reaching 1.32 trillion US dollars (approximately 8.92 trillion yuan at current exchange rates).
Driven by increased willingness among U.S. hyperscale CSPs and Tier-2 data centers to purchase NVIDIA rack-scale solutions, the ramp-up of next-generation AI ASICs from Google and Amazon AWS in the second half of the year, and expanded adoption of new locally developed products by Chinese companies, TrendForce has also raised its forecast for the growth in AI server shipments in 2026 from the previous 28% to 31%.
Reference
TrendForce: CSP capital expenditures expected to grow 90%; 2026 AI server shipment growth forecast raised to nearly 31%