SpaceX, Alphabet, and SK Hynix Are Quietly Flashing a Bullish Signal Investors Should Not Ignore
Yahoo Finance ·
Are we heading toward an artificial intelligence (AI) infrastructure spending cliff? Some investors and analysts have been saying so for a while now, predicting that the leaders in the AI industry, such as Nvidia ( NVDA 2.43% ) , could see their financial results worsen significantly once it happens. However, there are plenty of signs suggesting that AI spending isn't slowing down at all and may actually accelerate over the medium term. We could point to projections by other analysts and institutions. Some see AI infrastructure spending exceeding $1 trillion by 2029, up from $318 billion in 2025. Perhaps more tellingly, plenty of companies are actively saying they will spend more on AI and putting their money where their mouths are. Let's consider three examples: Space Exploration Technologies ( SPCX 3.07% ) , Alphabet ( GOOG 4.46% ) ( GOOGL 4.48% ) , and SK Hynix ( SKHY 13.69% ) . These corporations are flashing a bullish signal for Nvidia. Here's what investors need to know. Let's start with SpaceX, the space company with massive AI-related ambitions. SpaceX argues that AI represents, by far, its largest addressable market, which it estimates is $26.5 trillion. Before it can capitalize on this opportunity, though, SpaceX has to invest massive sums of money. In 2025, the company invested $12.7 billion in capex within its AI segment, significantly more than what it spent across its two other business units combined. And through March 31, SpaceX's AI unit's capital expenditures totaled $7.7 billion -- representing a $30.8 billion run rate -- suggesting the spending is accelerating. And according to SpaceX's CEO, Elon Musk, the company will continue ordering racks of Nvidia's products. Next, let's consider Alphabet, which recently announced an $80 billion equity capital raise to fund its AI projects. The company said it would spend between $180 billion and $190 billion in capex this year. Management also warned investors: Capex spending will grow significantly in 2027. Alphabet was also clear that Nvidia's GPUs ( Graphics Processing Units ) are central to its AI business, even as it ramps up production of its internally developed custom AI chips.
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