No qualifying author-owned investment thesis was confirmed in this post.
The author is asking a question and expressing concern rather than providing a directional investment judgment.
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During the Q/A, analysts were talking a lot about capex spend and if it will ever stop or even slow. Google CFO Anat Ashkenazi gave a key detail that hints at the "end" of the build-out. She broke the capex down into two buckets:
* **60% is for "Short-Life Assets" (Servers/Chips):** This spend never really ends because chips wear out every 4–5 years.
* **40% is for "Long-Duration Assets" (Data Centers/Fiber/Land):** This is the "shell" of the house.
If 60 percent of this capex never ends, that means there has to be insane ROI on this capex to even break even. 60 percent of 185 billion is 111 billion in capex—that could be the new norm. Is anyone else concerned about this, and can smarter people than me chime in on what ROI this capex spend has to get to be worth it?