48% of Google Cloud Revenue Next Year Could Come From Just 2 Companies That Have Still Never Turned a Profit Quick Read – UBS estimates OpenAI and Anthropic will drive 48% of GOOGL Cloud revenue next year, while MSFT’s Intelligent Cloud saw 69% of its growth from OpenAI alone. -…
Zitron warns OpenAI’s $20.9 billion 2025 losses and a delayed IPO expose hyperscalers to a $1.6 trillion annual infrastructure demand gap. – It sounds nuts, but SoFi1 is giving new Active Invest users up to $3,000 in stock for a limited time, and all it takes is a $50 deposit to get started.2 See for yourself (Sponsor) On a Bloomberg Businessweek segment that aired August 7, 2026, Ed Zitron, CEO of EZ Primary Research and one of the more vocal AI skeptics in financial media, made a claim that reframes how investors should think about hyperscaler cloud growth. Citing UBS estimates that 27% of Google Cloud’s revenue this year comes from OpenAI and Anthropic, rising to 48% next year, totaling over $124 billion, Zitron argued that the AI boom powering Alphabet (NASDAQ:GOOGL), Microsoft (NASDAQ:MSFT), and Amazon (NASDAQ:AMZN) is dangerously narrow
Zitron’s thesis: what looks like broad, diversified enterprise demand for AI compute is, in his view, circular financing concentrated in two unprofitable private companies that, as he put it, “do not pay their bills out of existing cash flow.” The Concentration Numbers Across the Three Hyperscalers Google Cloud is the epicenter of the argument. The segment posted $24.768 billion in Q2 2026 revenue, growing 82% year-over-year, its fifth consecutive quarter of acceleration. Alphabet spent $44.924 billion on capex in the quarter, more than double the prior year, and raised roughly $70 billion through combined equity and debt financing, per its Q2 8-K filing.
Free cash flow turned negative at -$5.855 billion, and the buyback was suspended. SoFi Active Invest is offering a limited-time promotion. Open an account, fund it with $50 or more, and you could…