Global spending on AI-driven infrastructure is accelerating rapidly, fueled by demand for advanced semiconductors and cloud-scale data centers. Companies like Nvidia, AMD, Microsoft, Meta, and Amazon are central to this shift, with capital expenditures expected to grow by over 30% in 2026.
- AI infrastructure spending is expected to grow by over 30% in 2026
- Nvidia’s data center revenue surged 78% YoY to $44 billion in 2025
- AMD’s Instinct GPU revenue rose 90% in the last fiscal year
- Microsoft, Amazon, and Meta collectively plan over $200 billion in AI infrastructure investments
- Data center expansions are focusing on liquid cooling and AI-specific hardware
- Stocks like NVDA, AMD, MSFT, META, and AMZN have outperformed broader markets by double digits
A transformative wave of infrastructure investment is unfolding across the technology sector, driven by the escalating demands of artificial intelligence. As enterprises deploy large-scale AI models, the need for high-performance computing hardware and scalable cloud storage has led to a surge in capital outlays. This trend is reshaping supply chains, data center design, and semiconductor production capacity. Major tech firms are responding with record-level investments aimed at securing competitive advantage in an AI-first economy. Nvidia’s dominance in AI accelerators continues to underpin much of this activity. The company’s data center revenue reached $44 billion in 2025, representing a 78% year-over-year increase, and is projected to exceed $60 billion in 2026. Similarly, AMD has expanded its presence in AI chips, capturing approximately 15% of the market share in server-grade GPUs, with revenue from its Instinct line growing by 90% in the last fiscal year. These gains reflect broader industry shifts toward heterogeneous computing architectures that support diverse AI workloads. Cloud providers are also scaling rapidly. Microsoft Azure and Amazon Web Services have each committed over $100 billion in new infrastructure spending through 2027, while Meta plans to invest $55 billion in AI infrastructure by mid-decade. These commitments include building next-generation data centers powered by liquid-cooled systems and dedicated AI training clusters. The expansion is not limited to the U.S.—Asia-Pacific regions, particularly Singapore and Japan, are seeing increased construction of AI-optimized facilities. The ripple effects are evident across equity markets. Stocks tied to semiconductor manufacturing, cloud services, and infrastructure components—such as NVDA, AMD, MSFT, META, and AMZN—have outperformed broader indices by double-digit margins over the past 12 months. Investors are increasingly prioritizing exposure to companies that enable AI infrastructure, viewing them as foundational to long-term digital transformation.