TrendForce projects the combined 2027 capital spending of nine major cloud providers will pass $1.5 trillion, as AI infrastructure commitments grow and equipment costs add to budgets.
The group includes Google, Amazon, Meta, Microsoft, Oracle, ByteDance, Tencent, Alibaba and Baidu. TrendForce’s Oct. 14 forecast puts their 2026 outlays at $957 billion, 106% above the 2025 level. It now expects a further 60% rise in 2027, revising its previous growth projection of 50%.
AI server revenue is expected to climb from about $479 billion in 2026 to nearly $920 billion in 2027, a gain of more than 90%. TrendForce also projects shipments will grow 32.2% in 2026 and almost 36% in 2027.
Demand is expected to favor rack-scale systems such as NVIDIA’s GB300 and VR200 platforms and AMD’s Helios series. TrendForce links the higher spending outlook to costlier complete server systems, component expenses amid supply shortages and advance payments some suppliers seek to secure supply. It says shortages and higher prices for key inputs, especially memory, are lifting average prices for next-generation AI server racks.
TrendForce projects 2027 server-market revenue above $1 trillion, with AI servers representing about 81% of total server revenue. IDC’s worldwide server-market data provide a broader comparison: second-quarter 2026 revenue reached $166.3 billion, 52% above the year-earlier figure, and unit growth was 15.4%.
For the quarter ended July 31, 2026, Dell’s SEC-filed earnings release reported $16.4 billion in AI-optimized server revenue, $60.9 billion in AI orders and a $95 billion backlog at quarter-end. The figures track separate stages: revenue recognized, orders booked and work remaining in the backlog. A separate SEC filing said AI-optimized server revenue doubled from a year earlier, mainly because Dell sold more units, while higher average selling prices made a smaller contribution. The results add company-level context to Dell’s earlier discussion of AI planning amid component shortages.
