Artificial Intelligence is gradually expanding its reach, and companies are increasingly adopting it. In this regard, the Big Four tech companies—Amazon, Google, Meta, and Microsoft—plan to spend $650 billion on developing AI and its related infrastructure by 2026. This has come to light in a Bloomberg report.
This is surprising because the central government had recently presented the country’s annual budget, in which a total expenditure of about $670 billion was fixed for the development of the entire country. This clearly shows that these tech companies are spending almost as much on AI as the government spends on the development of the entire country in a year.
Preparations underway for large-scale adoption of AI
Recently, these big companies announced their financial results, but did not mention their upcoming expenses. A few days ago, Google had just said that its expenditure in 2026 will be around $185 billion. A few days later, Amazon announced that its total spending this year would be $200 billion. Meta reported its spending to be approximately $135 billion. For Microsoft, this figure is expected to be around $120 billion. A large portion of this money will be spent directly on building AI infrastructure, which will include large data centers, high-end servers, networking equipment, and specialized chips.
Mass layoffs continue
News of layoffs in tech companies have been coming out for some time. Recently, Amazon laid off about 16,000 employees. Last year, Microsoft laid off 9,000 employees. Meta also laid off 10 percent of its employees in its Reality Labs division. This clearly shows that companies are firing employees in the name of restructuring to reduce costs and raise resources to spend more on AI infrastructure.