Alphabet Prepares For AI Bust

Alphabet increases capex to $195 billion to $205 billion range Alphabet has raised its capital expenditures to the $195 billion to $205 billion range for 2026, up from $91 billion in 2025. The company has increased its liquidity to over $242 billion to get ahead of th

Alphabet increases capex to $195 billion to $205 billion range

Alphabet has raised its capital expenditures to the $195 billion to $205 billion range for 2026, up from $91 billion in 2025.

The company has increased its liquidity to over $242 billion to get ahead of this spending, and long-term debt more than doubled to over $98 billion over the previous six months.

Free cash flow, which excludes capex, is now $53 billion for the trailing 12 months, down from $67 billion one year ago.

Alphabet’s successes with Google Gemini have helped the company respond to the competitive threat from ChatGPT, despite increased spending.

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