Cloud computing companies such as Oracle, Microsoft, and Meta Platforms Inc. have promised to invest a total of $500 billion in data center leasing over the next few years. This astronomical figure highlights the industry's strong bet on artificial intelligence. According to an analysis of quarterly documents, such spending commitments have continued to rise in recent quarters as tech giants increasingly sign agreements to lease server clusters. With the exception of leasing contracts that have now commenced, these future costs will not immediately appear on the company's balance sheet, but will have to wait until the company starts making payments. These costs are generally associated with data centers, but may also include facilities such as offices or warehouses. Some lease contracts also include clauses that allow the company to be exempted from future obligations under certain circumstances. Oracle has invested the most in data center leasing, signing an agreement worth approximately $150 billion in the three months ending November alone, bringing its total commitment to $248 billion. The company is working on a historic data center to support the training and deployment of OpenAI's latest models.

Cloud computing companies such as Oracle, Microsoft, and Meta Platforms Inc. have promised to invest a total of $500 billion in data center leasing over the next few years. This astronomical figure highlights the industry's strong bet on artificial intelligence. According to an analysis of quarterly documents, such spending commitments have continued to rise in recent quarters as tech giants increasingly sign agreements to lease server clusters. With the exception of leasing contracts that have now commenced, these future costs will not immediately appear on the company's balance sheet, but will have to wait until the company starts making payments. These costs are generally associated with data centers, but may also include facilities such as offices or warehouses. Some lease contracts also include clauses that allow the company to be exempted from future obligations under certain circumstances. Oracle has invested the most in data center leasing, signing an agreement worth approximately $150 billion in the three months ending November alone, bringing its total commitment to $248 billion. The company is working on a historic data center to support the training and deployment of OpenAI's latest models.