Alphabet reported Q2 2026 revenue of $112 billion, beating Wall Street expectations. Cloud revenue surged 82% year-over-year, but the company raised its 2026 capex guidance to $190 billion, sending shares lower in after-hours trading.
The US Department of Defense has reached agreements with seven top tech companies to deploy their AI systems on classified military networks, while Anthropic was excluded over security clearance concerns.
Bloomberg reports that US tech giants’ AI-related spending is projected to exceed $700 billion in 2026, setting a new record as the global AI race continues to accelerate.
As Big Tech AI infrastructure spending approaches the $600 billion mark, Wall Street investors are taking their first concentrated look at whether these massive investments can deliver meaningful commercial returns.
Elon Musk’s years-long legal battle with OpenAI and CEO Sam Altman goes to trial next Monday. While Musk has withdrawn some fraud claims, core disputes will still go before a jury, potentially exposing some of the tech industry’s most closely guarded internal secrets.