Neuberger Berman's quarterly equity outlook reports that hyperscaler capex is expected to reach 115% of cloud revenue in 2027 before falling to 73% by 2030, with free cash flow turning negative in 2027 and debt plus equity issuance likely covering the shortfall. It cites Goldman Sachs' estimate that roughly $300 billion a year of AI revenue is needed for hyperscalers to break even on capex, and notes hyperscaler debt issuance is competing for capital and raising the risk premium in rates markets. For a financial institution, this is an asset manager explicitly modelling the AI build-out as a funding-market event, not just an equity story.
219 other tracked developments touching the same claims.