Meta, Microsoft, Google Are Spending Like It's 2021 — And These AI Stocks Are The Real Winners

Core Insights - Big Tech companies, including Meta Platforms, Microsoft, and Alphabet's Google, are significantly increasing their capital expenditures (capex) focused on data centers, GPUs, and AI infrastructure, moving away from previous focuses like the metaverse and remote work hardware [1][3][4]. Capital Expenditure Trends - The combined capex of Meta, Microsoft, and Google surged 23% quarter-over-quarter and 85% year-over-year, reaching nearly $80 billion in the September quarter [2]. - Meta's third-quarter capex rose 111% year-over-year to $19 billion, with projections for 2025 spending as high as $72 billion and potential growth beyond $100 billion in 2026 [3]. - Microsoft's capex increased 74% year-over-year to $35 billion, with expectations of over 60% growth in FY26, driven by AI and cloud demand [4]. - Google's capex grew 83% year-over-year to $24 billion, with a projected 74% increase in 2025 spending and another significant rise anticipated in 2026 [5]. Supply Chain Opportunities - The real growth story may lie in the supply chain companies that support Big Tech's infrastructure needs, including firms like Amphenol Corp, Arista Networks, and others, which are positioned to benefit as hyperscalers expand their AI capabilities [6][7].