Alphabet is spending money on AI like it just discovered what a credit card is. The Google parent company updated its 2026 capital expenditure guidance to $180-190 billion in April, up from the $175-185 billion it projected just two months earlier in February. For context, the company spent roughly $91 billion across all of 2025.
The technical picture looks familiar, and not in a good way
Technical analysts have flagged overbought RSI (Relative Strength Index) patterns on Alphabet shares. The last time the chart looked this heated was November 2021. What followed was a roughly 45% decline in the stock’s value.
Alphabet announced in June 2026 that it expects to raise around $80 billion through equity sales. The proceeds are earmarked for AI infrastructure and general corporate purposes. The company has also signaled that capex will increase further in 2027, meaning this isn’t a one-year splurge.
Big Tech’s collective AI arms race
