We're offering a 2-week trial of WrapPRO for $1. If you’ve been wanting to check out our full coverage, now’s the time. Greetings!If you paid attention to the Big Tech earnings that came out this week, you likely picked up on the trend of companies like Google parent Alphabet and Meta, which owns Instagram and Facebook, pouring even more money into AI. In Hollywood, everyone is fretting about how a company like Paramount will handle a debt load of $79 billion once it acquires Warner Bros. Discovery, while Netflix gets scrutinized for spending $20 billion on films and shows each year. But in Silicon Valley, spending $190 billion a year isn't just acceptable; it's rewarded with share gains the following day. Those jaw-dropping numbers underscore how central AI has become in our lives, with essentially the entire economy betting on its success in the mother of too-big-to-fail scenarios. But these latest numbers also show how it's getting more expensive to stay in the AI game. And it's one that virtually all of the major tech companies will continue to play as FOMO reigns over the entire industry. “If you’re a hyperscaler like Google, Amazon or Microsoft, the insane price of AI infrastructure is a rational investment, because you’re selling that compute at a profit,” Avi Greengart, an analyst at Techsponential, told me. “There’s a risk of overinvestment, but given the potential — and health of their underlying businesses — it would be worse to underinvest if the bull case for AI is true, and then never be able to catch up to demand and lose to rivals who did.” But that kind of investment doesn't come without a cost, as I break down in my lead story today. Get some rest this weekend, as the media companies get their turn to report quarterly results next week. Roger Cheng Before we move on, be sure to follow me on my socials linked below for the latest updates. DMs are open for tips.    
So how much are these tech companies actually spending on AI? As the chart below breaks down... 
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