Business · 20h ago
Google goes cash flow negative as AI capex hits $44.9B in a quarter
Alphabet reported negative cash flow for the first time, driven by $44.9 billion in capital expenditures in a single quarter, mostly for AI data centers. CFO Anat Ashkenazi warned capex will rise further in 2027, with full-year guidance raised to $195–$205 billion. The company is betting heavily on custom TPUs to power its AI infrastructure.
Meridian48 take
This marks a historic shift for Google, which has long been a cash machine; the AI arms race is now forcing even the deepest pockets to borrow or burn reserves.
Read the full reporting
Google goes cash flow negative for the first time as AI data center buildout increases capex to a staggering $44.9 billion in a single quarter — CFO warns that capex will increase in 2027 as company banks big on TPUs →
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