Alphabet's 2027 capital expenditure is expected to reach $250 billion amid AI expansion.

Huo Xing Finance reports that, as Alphabet (Google’s parent company) releases its second-quarter earnings after tonight’s U.S. market close, Wall Street sell-side analysts have issued a consensus forecast with cautionary notes regarding its future capital expenditure (Capex) trajectory. According to aggregated market data, analysts’ consensus estimate for Alphabet’s full-year 2026 capital expenditure is approximately $186 billion, closely aligned with the company’s previously raised official guidance range of $180–190 billion. This figure represents more than a fivefold increase from $32.3 billion in 2023, primarily directed toward AI data centers and computing infrastructure to support the ongoing expansion of Google Cloud and the Gemini model. Of even greater interest is the outlook for 2027. Morgan Stanley analyst Brian Nowak previously publicly predicted that Alphabet’s capital expenditure could surge further to around $250 billion next year—a projection consistent with statements from CFO Anat Ashkenazi, who has repeatedly informed investors on earnings calls that 2027 Capex will see a “significant increase” compared to 2026. Market participants note that the sustained rise in capital spending has put pressure on the company’s free cash flow (which declined approximately 47% year-over-year in Q1). Tonight, during the earnings call, in addition to monitoring revenue and EPS performance, investors will be closely watching whether management will further raise its 2026 guidance and provide more specific details on 2027 spending levels—factors likely to be key drivers of stock price movement.