Alphabet invests big in AI and data centres

CEO Sundar Pichai called AI the biggest opportunity in tech.

Alphabet, Google, AI, data centres, investment

Alphabet has confirmed it will proceed with a planned US$75 billion investment this year to expand its data centre infrastructure, reinforcing its push into generative AI.

CEO Sundar Pichai reiterated the company’s commitment at Google Cloud’s annual conference, describing AI as ‘the biggest opportunity’ yet for the tech giant.

The funds will go towards essential hardware such as chips and servers that underpin Alphabet’s core services, including Search, and power its AI models like Gemini.

The investment figure, first revealed in February, exceeded market expectations by nearly 30 percent and reflects the intensifying race among major tech firms to dominate the AI space.

Despite the ambitious scale, Alphabet’s strategy faces uncertainty. Rising geopolitical tensions risk inflating supply chain costs, and investors remain cautious as they wait for clearer returns on such massive outlays.

Market pressure continues to mount on Big Tech to turn AI enthusiasm into tangible financial performance.

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