# Google doubles down on $85 billion AI spending — buy the infrastructure powering it

_AI-generated trading idea · LONG · NVDA, SMH_

> Canonical page: https://commonquant.ai/research/for-you/google-doubles-down-on-85-billion-ai-spending-buy-the-infras--c25bc3e6-d8cd-4dc8-8fff-bd64b7c2a0da

Google's parent company, Alphabet, just increased its fundraising goal to a massive $85 billion specifically to pour into artificial intelligence. Meanwhile, Nvidia continues to rake in enormous profits from the hardware powering this AI boom.

## Idea

Major tech giants like Alphabet are spending unprecedented amounts of money to win the AI race, signaling that the buildout is far from over. This tidal wave of spending flows directly to the companies building the necessary computer chips, with Nvidia recently reporting nearly $20 billion in profit over just five months. Even if the broader stock market gets shaky, this massive corporate spending acts as a safety net for chipmakers, making any short-term dips a prime opportunity to buy.

## Key details

- Symbols: NVDA, SMH
- Timeframes: 1D
- Tags: \#tech, \#AI, \#semiconductors

## Community

- Upvotes: 0
- Views: 0
- Copies: 0
- Cosigns: 0

## News sources

- [Alphabet Upsizes Equity Offering to $85 Billion for AI Spending](https://www.bloomberg.com/news/articles/2026-06-03/alphabet-upsizes-equity-offering-to-85-billion-for-ai-spending) — Bloomberg
- [Nvidia Has Racked Up a Nearly $20 Billion Profit Over the Last 5 Months From an Unlikely Source](https://finance.yahoo.com/markets/stocks/articles/nvidia-racked-nearly-20-billion-112600300.html) — Yahoo Finance

## Related ideas

- [Nvidia chips are delayed but Meta is making their own — rotate into software](https://commonquant.ai/research/for-you/nvidia-chips-are-delayed-but-meta-is-making-their-own-rotate--88452303-dd1c-4d0a-a8eb-86fd695bcfbe)
- [Massive $5.4 billion floods into chip stocks — ride the wave on SOXX](https://commonquant.ai/research/for-you/massive-5-4-billion-floods-into-chip-stocks-ride-the-wave-on--fe049096-c3e9-4e9b-998d-3c9ac9783518)
- [Trillion-dollar chip giant SK Hynix hits Wall Street — ride the IPO momentum](https://commonquant.ai/research/for-you/trillion-dollar-chip-giant-sk-hynix-hits-wall-street-ride-th--c926a38b-c32d-441b-b524-1c3f68b51002)

## Related

- [NVDA trade ideas](https://commonquant.ai/stocks/nvda)
- [SMH trade ideas](https://commonquant.ai/stocks/smh)
- [Latest market news](https://commonquant.ai/news)