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Global Newsphere > International > Tech giants spend more on AI than US on education and other services combined
Tech giants spend more on AI than US on education and other services combined
International

Tech giants spend more on AI than US on education and other services combined

August 3, 2025 3 Min Read
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by Olivier Acuña Barba •Published: August 2, 2025•22:47•2 minutes read

Tech giants such as Google, Meta, Microsoft and Amazon have invested $155 billion in AI so far this year. Credit: Anggalih Prasetya/Shutterstock

Big Tech is spending more on artificial intelligence than ever before, but returns are also rising, with investors buying it. The largest US companies have been trapped in the race this year to see people spending more on artificial intelligence (AI).

As a result, so far, companies investing in AI have spent $155 billion (approximately 134 billion euros) on AI development. According to For parents, that’s more than the US government has invested in education, training, employment and social services.

And then the year or competition was over. Based on the latest financial disclosures of Silicon Valley’s most well-known athletes, the race is about to accelerate to hundreds of millions of people in a year. Over the past two weeks, Alphabet, a parent of Meta, Microsoft, Amazon and Google, shares quarterly public financial reports, indicating that each spent tens of millions of dollars to acquire or upgrade tangible AI assets.

“We will continue to invest” AI

Meta’s annual capital expenditure reached $30.7 billion (EUR 26.5 billion), doubled the $15.2 billion (EUR 13.1 billion) figure from last year, according to the revenue report. Alphabet (Google) has reported $40 billion (34.5 billion euros) so far for the first two quarters of the current fiscal year, while Amazon has reported $55.7 billion. Microsoft said it will spend more than $30 billion (26 billion euros) this quarter to build data centers powered by AI services.

See also  EU and the US agree on a trade deal

“We will continue to oppose the vast opportunities ahead,” said Microsoft CFO Amy Hood.

Apple CEO Tim Cook said Thursday that the company is relocating a “fair number” of employees to focus on AI, and the “center of its AI strategy” is to increase investment in all devices and platforms and “embed” AI.

“We’re increasing our investments significantly. We don’t have certain numbers behind it,” Cook added.

AI spending is “surprisingly high”

“As companies like Alphabet and Meta compete to fulfill their AI promises, capital spending is surprisingly high and will continue to be promoted in the near future,” said Debra Aho Williamson, founder and chief analyst of Sonata Insights. According to To Reuters..

But if their core business remains strong, “it provides the confidence that they will buy more time with investors and that billions will be spent on infrastructure, talent and other technology-related expenses,” Williamson added.


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