{"slug": "goldman-sachs-projects-ai-infrastructure-spending-to-hit-1-6t-by-2031", "title": "Goldman Sachs projects AI infrastructure spending to hit $1.6T by 2031", "summary": "Goldman Sachs projects annual AI-related capital expenditure will rise from $765 billion in 2026 to $1.64 trillion by 2031, totaling $7.6 trillion over six years, with compute hardware absorbing about $5.1 trillion. The bank's May 2026 report 'Tracking Trillions' estimates that Meta, Microsoft, Amazon, and Alphabet will collectively spend around $5.3 trillion in capex from fiscal years 2025 through 2030, and assumes NVIDIA will capture 75% of the compute market, potentially generating $3.8 trillion in revenue.", "body_md": "Via en.wikipedia.org\n\n# Goldman Sachs projects AI infrastructure spending to hit $1.6T by 2031\n\nThe bank's latest report forecasts $7.6 trillion in cumulative AI capital expenditure over six years, with compute hardware eating two-thirds of the total\n\nGoldman Sachs just put a price tag on the AI buildout, and it reads like a defense budget. The bank’s May 2026 report, titled “Tracking Trillions,” estimates that annual AI-related capital expenditure will climb from $765 billion this year to $1.64 trillion by 2031.\n\nAdd it all up and the cumulative tab comes to $7.6 trillion over six years. For perspective, that figure exceeds the GDP of every country on earth except the US and China.\n\n## Where the money goes\n\nGoldman’s breakdown splits the spending into three buckets: compute, data centers, and power. Compute infrastructure, meaning the chips and servers that actually run AI workloads, is projected to absorb roughly $5.1 trillion of the total. That’s about two-thirds of every dollar spent.\n\nData centers, the physical buildings that house all that silicon, are expected to attract $2.1 trillion in investment. Power infrastructure, the grids and generation capacity needed to keep the lights on inside those buildings, rounds out the picture at $358 billion.\n\nThe compute number carries an important asterisk. Goldman assumes NVIDIA will capture 75% of that market. If that estimate holds, Jensen Huang’s company would be on the receiving end of roughly $3.8 trillion in revenue over the forecast window.\n\n## The hyperscaler arms race\n\nThe four largest cloud companies, Meta, Microsoft, Amazon, and Alphabet, are expected to collectively spend around $5.3 trillion in capital expenditure from fiscal years 2025 through 2030. Goldman notes that this figure alone surpasses the GDP of Japan, which has the fourth-largest economy in the world.\n\nGlobal AI-related investment, including private companies and non-US spending, is estimated to exceed $1 trillion for 2026 alone.\n\n## The bottleneck nobody wants to talk about\n\nGoldman’s analysts flagged two risks that could complicate this spending trajectory. The first is power. The $358 billion earmarked for power infrastructure might sound like a lot, but it represents less than 5% of the total AI capex forecast.\n\nThe second risk is more fundamental: whether these investments will generate justified returns in the near term. The AI infrastructure buildout is, at its core, a bet that demand for AI services will scale proportionally with the supply of compute.\n\n**Disclosure:** This article was edited by Editorial Team. For more information on how we create and review content, see our\n\n[Editorial Policy](https://cryptobriefing.com/editorial-policy/).", "url": "https://wpnews.pro/news/goldman-sachs-projects-ai-infrastructure-spending-to-hit-1-6t-by-2031", "canonical_source": "https://cryptobriefing.com/goldman-sachs-ai-infrastructure-spending-2031/", "published_at": "2026-08-20 14:48:44+00:00", "updated_at": "2026-08-20 15:14:15.439583+00:00", "lang": "en", "topics": ["ai-infrastructure", "ai-chips", "ai-policy"], "entities": ["Goldman Sachs", "NVIDIA", "Meta", "Microsoft", "Amazon", "Alphabet", "Jensen Huang"], "alternates": {"html": "https://wpnews.pro/news/goldman-sachs-projects-ai-infrastructure-spending-to-hit-1-6t-by-2031", "markdown": "https://wpnews.pro/news/goldman-sachs-projects-ai-infrastructure-spending-to-hit-1-6t-by-2031.md", "text": "https://wpnews.pro/news/goldman-sachs-projects-ai-infrastructure-spending-to-hit-1-6t-by-2031.txt", "jsonld": "https://wpnews.pro/news/goldman-sachs-projects-ai-infrastructure-spending-to-hit-1-6t-by-2031.jsonld"}}