Alphabet’s CFO signals AI spending could top $300 billion as cash flow turns negative

Alphabet's CFO signaled that AI capital expenditures could exceed $300 billion, even as the company's free cash flow has turned negative, raising concerns about financial strain from its aggressive AI buildout. The spending surge reflects Alphabet's push to expand data center and compute capacity to support Google's AI products, but it is testing the company's ability to balance growth investment with shareholder returns. The negative cash flow dynamic means Alphabet is increasingly funding AI infrastructure from its balance sheet rather than operating cash, a notable shift for one of the world's largest cash generators. Investors will be watching upcoming earnings for capex guidance revisions, the pace of AI-driven revenue growth, and whether management adjusts buybacks or dividends to preserve liquidity.