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Viewsroom

Tech giant debt splurge ratchets up systemic risks

Viewsroom

Reuters

News

4.458 Ratings

🗓️ 27 November 2025

⏱️ 18 minutes

🧾️ Download transcript

Summary

Titans such as Google, Meta, Oracle and Amazon may spend $600 bln in 2026 on data centres. In this Viewsroom podcast, Breakingviews columnists explain why juicy profits will not be enough to fund their rapid expansion. But raising debt will only extend contagion risk. Visit the Thomson Reuters Privacy Statement for information on our privacy and data protection practices. You may also visit megaphone.fm/adchoices to opt-out of targeted advertising. Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

Something unexpected has arrived in Happy Meal.

0:03.2

Teenage Mutant Ninja Turtles and Hello Kitty and friends are teaming up for the ultimate collab.

0:08.3

Joining your little ones on a fun-fueled adventure.

0:11.0

Some fun, some food, it's all inside this Happy Meal.

0:16.2

Until the 2nd of February from 11am includes one pre-selected book or toy whilst that's last.

0:20.4

The views expressed on this podcast are those of the participants, not of Rogers News.

0:28.5

The artificial intelligence boom is entering a new and frothier era.

0:35.1

From the moment Open AI released ChatGBTGBT in 2022, tech giants have

0:40.5

raced to expand and perfect the technology, with US titans like Amazon, Microsoft, Google and

0:47.0

Oracle set for over $600 billion of capital spending as they rush to build data centers

0:53.7

in the coming year.

0:56.0

After practically tapping out spending capacity even at hyper-profitable firms like Facebook

1:01.0

owner Meta, which is promising to spend 78% of its expected cash flow in 2026 and drawing

1:08.0

in a host of upstarts like Server Farm Builder builder core weave, the AI leaders are now turning to debt, issuing vast sums to keep up the pace.

1:17.3

What this means and what the potential risks are is the focus of this week's Viewsroom.

1:24.7

Welcome to the Views Room, the weekly podcast from Breaking Views that dives into the naughtiest issues in corporate finance and business.

1:33.1

I'm your host, Amy Dunlin.

1:35.3

And I'm Jonathan Guilford.

1:36.9

Amy, as a resident U.S. correspondent on big private lenders like Apollo or Blackstone and so on, I'm kind of going to be playing both hosting guests this week. But it's a fascinating moment to be covering this stuff. This whole

1:49.4

industry among the private lenders that we used to talk about as this sort of poor cousin to

1:53.9

banks leverage lending desk is now much media. It's setting its site. It's much higher. And

1:58.7

AI is just a huge part of that growing up moment.

...

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