August 4, 2025

finance  
microsoft, meta and amazon Updates

The tech industry is currently experiencing a surge in AI investment, with major players like Microsoft, Meta, Amazon, and Alphabet leading the charge. Projections indicate that these companies alone could spend over $344 billion on data centers and AI chips this year, potentially reaching $400 billion when factoring in other investments. Microsoft is planning to spend $100 billion on AI next year, while Meta anticipates spending between $66 billion and $72 billion. Amazon's Q2 sales reached $167.7 billion, a 13% increase, and the company's AI-related spending is expected to surpass $105 billion this year. This massive investment aims to bolster cloud services and AI product development. As a result of increased ad pricing and user growth, Meta's apps are generating more revenue. Microsoft's cloud platform, Azure, has also seen significant growth, contributing to the company reaching a $4 trillion valuation. Companies like Nvidia, Taiwan Semiconductor, and ASML are also considered strong AI stocks, with ASML holding a monopoly on chip-making technology crucial for AI advancement. Cathie Wood's firm is shifting investments from crypto to AI infrastructure, selling Block Inc. shares and buying AMD shares. Meanwhile, Cloudflare's high valuation faces challenges due to generative AI's potential impact on its long-term growth. Palantir, a data-mining and analytics company, is expected to report a 38.6% revenue increase, reaching $939.6 million.

Key Takeaways

  • Microsoft, Meta, Amazon, and Alphabet are projected to spend over $344 billion on AI in 2025, potentially reaching $400 billion.
  • Microsoft plans to invest $100 billion in AI next year, while Meta expects to spend $66-72 billion.
  • Amazon's Q2 sales reached $167.7 billion, with AI investments expected to exceed $105 billion this year.
  • Meta's ad revenue is increasing due to AI, contributing to Microsoft's $4 trillion valuation.
  • Nvidia, Taiwan Semiconductor, and ASML are highlighted as strong AI stocks.
  • ASML holds a monopoly on chip-making technology, essential for AI progress.
  • Cathie Wood's firm is shifting investments from crypto to AI infrastructure, buying AMD shares.
  • Cloudflare's high valuation faces challenges from generative AI's potential impact.
  • Palantir is expected to report a 38.6% revenue increase, reaching $939.6 million.
  • Leading American companies spent nearly $155 billion on AI in 2025, exceeding the U.S. government's education and labor budgets.

Microsoft and Meta lead big tech's $400 billion AI spending spree

Microsoft, Amazon, Alphabet, and Meta are increasing spending on data centers and AI chips. They are projected to spend over $344 billion this year, possibly reaching $400 billion with other factors included. This investment supports cloud services and AI products. Microsoft spent a record $24.2 billion last quarter and plans to spend even more. Investors are watching to see if this spending leads to business growth.

AI spending soars past US education budget as tech giants invest billions

Leading American companies spent nearly $155 billion on AI in 2025, exceeding the U.S. government's education and labor budgets. Meta, Microsoft, Amazon, and Alphabet reported huge capital expenditures on data centers and servers. Microsoft plans to spend $100 billion on AI next year, while Meta expects to spend $66-72 billion. Despite the high costs, investors reacted positively, with stock prices surging. Smaller firms like OpenAI are also raising billions to compete in the AI race.

Top AI stocks to buy now Meta, ASML, and Alphabet

Meta Platforms, ASML, and Alphabet are top AI stocks expected to perform well in 2025. Meta's apps have growing users and ad pricing, leading to increased revenue. ASML, a leader in chip-making technology, may see a comeback due to high AI chip demand. Alphabet's cloud services are growing fast, with overall revenue up 14%. These companies show that the AI boom is real and still going strong.

4 AI stocks to buy now Nvidia, Taiwan Semiconductor, Alphabet, ASML

Nvidia, Taiwan Semiconductor, Alphabet, and ASML are great AI stocks to buy in August 2025. Nvidia's growth may speed up with its China export license possibly restored. Taiwan Semiconductor is seeing increased chip demand and expects nearly 20% growth. Alphabet is considered cheap and is integrating AI search. ASML has a monopoly on chip-making technology, making it essential for AI progress.

Cloudflare's growth faces challenges from AI and high valuation

Cloudflare's revenue growth has been impressive, but its stock is valued very high. Profitability has not improved because the company is focused on growth investments. Generative AI could negatively affect Cloudflare and challenge its long-term growth. The stock's high price already reflects a lot of optimism.

Palantir earnings report what to expect tomorrow

Palantir, a data-mining and analytics company, will report earnings soon. Analysts expect revenue to grow 38.6% to $939.6 million. Adjusted earnings are expected to be $0.14 per share. Most analysts have confirmed their estimates, expecting the business to continue as is. Palantir has exceeded revenue estimates by 2.6% on average over the last two years.

Cathie Wood bets on AI and crypto for tech growth

Cathie Wood is shifting investments from crypto to AI infrastructure. Her firm sold Block Inc. shares and bought AMD shares, focusing on AI hardware. While reducing Bitcoin exposure, she still believes in crypto's role as a hedge against currency devaluation. Wood believes AI and automation will drive economic recovery. She balances investments in AI and crypto to manage risks and leverage growth potential.

Silicon Valley's AI spending boom Microsoft starts to profit

Meta, Apple, Microsoft, and Amazon are increasing AI spending beyond expectations. Meta's ad revenue increased due to AI, and Microsoft's cloud platform Azure grew significantly. Microsoft's stock boost led it to a $4 trillion valuation. Meta is investing heavily in data centers and AI talent. The question is whether AI demand will match the high spending levels.

Amazon Q2 sales reach $167.7B amid big AI investments

Amazon's Q2 sales hit $167.7 billion, a 13% increase, driven by Amazon Web Services (AWS). The company is investing heavily in AI, with spending expected to top $105 billion this year. CEO Andy Jassy sees AI as a huge opportunity. Amazon is deploying robots to automate warehouses and save costs. The company is balancing innovation with cost control amid market skepticism.

Sources

AI spending Data centers AI chips Microsoft Meta Amazon Alphabet Nvidia ASML Taiwan Semiconductor Cloud services AI products Stock prices Revenue growth Cloudflare Palantir Cathie Wood AI infrastructure Crypto Azure AWS AI talent Generative AI AI search AI hardware Automation Robotics