"Meta Platforms Inc. alone revealed ambitions to spend as much as $135 billion this year one of the biggest planned outlays of the business sphere. Its suppliers have responded in kind: On Thursday, SK Hynix said it plans a considerable increase in capex, and Samsung said it's ratcheting up spending on its memory production capacity. That's as investors continue to reward ambition so long as companies can show growth."
"A procession of industry linchpins reported results this week that underscored how voracious the appetite for AI hardware has grown and how that's likely to extend well into 2026. Meta, Microsoft and fellow hyperscalers such as Amazon.com Inc. and Alphabet Inc., are driving a wave of global spending on chips, servers and computers that's firing up hardware suppliers around the world, particularly in Asia."
Global technology firms are undertaking a record wave of AI-related spending that is driving heavy investment across the hardware supply chain. Meta Platforms plans to spend as much as $135 billion this year, prompting suppliers such as SK Hynix and Samsung to boost capital expenditure and expand memory production capacity. Hyperscalers including Microsoft, Amazon and Alphabet are fueling worldwide demand for chips, servers and data-center equipment that is sustaining revenue and profits for memory makers and equipment vendors like ASML. Share reactions vary as investors reward growth while also reacting to slower cloud growth and aggressive capex plans. The investment surge is expected to persist into 2026.
Read at www.mercurynews.com
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