The four tech giants in the Magnificent Seven are on track to meet their massive artificial intelligence (AI) spending goals this year, according to earnings reports.
Companies that announced quarterly results after Wednesday’s market were Microsoft (MSFT), Alphabet (GOOG), Meta (META), and Amazon (AMZ), with a combined market capitalization of about $12 trillion.
Previously, a Bridgewater Associates analysis showed that the four companies are expected to collectively spend about $650 billion on AI infrastructure in 2026. Although most companies do not disclose their spending on AI in their latest financial results, increased spending in this area appears to be on track.
This investment has important implications for the digital asset sector, particularly Bitcoin miners, which are increasingly pivoting from mining to hosting computers for AI as part of their revenue diversification strategy. Bitcoin miners have already prepared data centers that are powered up to host the large numbers of machines needed for AI computing. Miners facing profit margin pressure from falling Bitcoin prices and increased competition have begun renting out their data centers to AI companies to diversify their revenue streams.
AI-related Bitcoin mining stocks with exposure to hyperscalar infrastructure deals include IREN (IREN), which is down about 0.3%, Terrawolf (WULF), and Cipher Digital (CIFR), which is down 0.5%. Meanwhile, Microsoft fell more than 2.4% in after-hours trading following the results, Alphabet rose 6%, Meta fell 6.6%, and Amazon fell 3.7%. Bitcoin has fallen about 0.9% in the past 24 hours.
The next big test for overall market sentiment and miners will come when chipmaker Nvidia releases its earnings results on May 20th.
Here’s what the tech giants reported and said on their earnings calls:
microsoft
Microsoft reported third-quarter 2026 revenue of $82.9 billion, above consensus of $81.4 billion, and EPS of $4.27 versus expectations of $4.06, according to FactSet data.
“We are focused on providing cloud and AI infrastructure and solutions that help every company maximize their results in the age of agenttic computing,” said Microsoft Chairman and CEO Satya Nadella, noting that the company’s AI business generated $37 billion, an increase of 123% year over year.
alphabet
Alphabet pointed to AI as a central driver of growth and reported capital expenditures of $35.67 billion for the quarter, slightly below expectations of $36.39 billion.
“Our AI investments and full-stack approach shines into every part of our business,” Alphabet CEO Sundar Pichai said, linking the benefits of search and cloud to AI-driven demand. Google Cloud’s revenue rose 63% to $20 billion, driven in part by “enterprise AI solutions and enterprise AI infrastructure.” This shows how AI is shaping both product usage and enterprise adoption.
Alphabet reported first-quarter 2026 revenue of $109.9 billion, beating the consensus of $107 billion, and EPS of $2.81 versus expectations of $2.63.
Amazon
Amazon reported first-quarter 2026 revenue of $181.5 billion, above consensus of $177.2 billion, and EPS of $2.78 versus expectations of $1.63. AWS revenue came in at $37.6 billion, compared to expectations of $36.92 billion.
Amazon said its free cash flow has declined significantly over the past year, pointing to a sharp increase in infrastructure spending. The company noted that this decrease was “primarily due to a $59.3 billion increase in real estate and equipment purchases compared to the previous year,” adding that “this increase primarily reflects investments in artificial intelligence.” The shift shows how much Amazon is leaning toward AI, even as it weighs on short-term cash generation.
Meta
Citing rising AI infrastructure costs as the main driver of spending, Meta reported capital spending for the quarter at $19.84 billion and raised its full-year outlook to $125 billion to $145 billion from its previous estimate of $115 billion to $135 billion. The company said the increase reflects “component price increases this year and, to a lesser extent, additional data center costs to support future production capacity,” highlighting how building AI is driving investment.
CEO Mark Zuckerberg put the push more directly, calling it a “milestone quarter” related to advances in AI, adding, “We’re on track to bring personal superintelligence to billions of people.”
Meta reported first-quarter 2026 revenue of $56.31 billion, beating the consensus of $55.5 billion, and EPS of $10.44 versus the estimate of $6.67.
