Amazon, Google, Microsoft Report $1.1 Trillion Cloud Computing Backlog as AI Demand Surges
Summary
Amazon, Google, and Microsoft reveal a staggering $1.1 trillion cloud computing backlog as AI demand explodes, forcing Big Tech giants to tap bond markets for billions while creating massive opportunities for smaller competitors.
Key Points
- Amazon, Google, and Microsoft collectively report a $1.1 trillion backlog in remaining performance obligations for cloud computing services driven by surging AI demand
- The massive cloud computing backlog creates opportunities for smaller 'neoscalers' like CoreWeave and Nebius, though CoreWeave itself reports a $55 billion backlog
- Big Tech companies are turning to bond markets to finance AI infrastructure expansion, with Alphabet planning a $15 billion bond sale following its previous $17.5 billion deal in November