200 billion: Capital expenditures from four of the largest US tech companies — Amazon, Microsoft, Meta, and Google — are set to exceed $200 billion this year, inflated by enormous spending on artificial intelligence software and hardware investments. Amazon’s spending alone surged 81% in a year, leading CEO Andy Jassy to assure investors the company’s bets will pay off. These are record sums at a time when Wall Street seems hesitant to keep rewarding excessive spending on AI.
46 billion: Apple reversed its fortunes after a bad year of iPhone sales, selling more than $46 billion of its signature smartphone between July and September — a 6% increase year over year. The company’s new iPhone 16 is part of its push into artificial intelligence — marketed as a phone capable of handling all of its Apple Intelligence features, such as a supercharged Siri, new writing tools, and call transcription — which started rolling out last week. The company hopes that AI can convince customers old and new that it’s time to pay up for a new iPhone, which starts at $799.
25: More than 25% of all new code produced by Google is written by artificial intelligence, according to CEO Sundar Pichai. AI produces the code, which is then reviewed and accepted by human engineers. A recent Stack Overflow survey found that 76% of all software developers are using or are planning to use AI to code.
45: Super Micro Computer, a key supplier of Nvidia servers, saw its stock fall 45% after its auditor, Ernst & Young, resigned because it was “unwilling to be associated with the financial statements prepared by management.” Once one of the hottest AI stocks, the company has now wiped out all of its 2024 gains.
