ChainCatcher report, according to predictive data released by The Kobeissi Letter, the investment boom in AI is reshaping the U.S. economic structure. By 2027, the capital expenditures of five major tech giants—Alphabet (Google’s parent company), Amazon, Meta, Microsoft, and Oracle—in the AI sector are projected to account for approximately 3.2% of U.S. gross domestic product (GDP). If this projection materializes, it would mark the first time in U.S. history that annual AI capital spending exceeds national defense spending (projected to be around 2.7% of GDP next year). Data shows that in 2026, the AI capital expenditures of these five companies are expected to surpass $800 billion, with their share of GDP rising sharply from 1.5% in 2025 to approximately 2.5%, already nearing the estimated 2.7% defense spending level. By 2027, this figure is projected to surge further to a record $1.1 trillion.
The Big Five Tech Giants' AI Spending to Exceed the U.S. Defense Budget by 2027
ChaincatcherShare
Summary
AI spending by the Big Five tech firms—Alphabet, Amazon, Meta, Microsoft, and Oracle—is projected to surpass U.S. defense spending by 2027, according to a report in AI + crypto news. The Kobeissi Letter estimates their combined AI capital expenditures will reach 3.2% of U.S. GDP by 2027, totaling $1.1 trillion. In 2026, on-chain data suggests total spending will exceed $800 billion, rising from 1.5% of GDP in 2025 to 2.5% in 2026, nearly matching defense spending at 2.7%.
Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information.
Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.