Millennials Capital

In other news, July inflation data came in exactly in line with expectations, with no negative surprises.

We are witnessing one of the biggest investment bets in history.

And that bet is AI.

Hyperscalers have committed roughly $2.6 trillion in future spending on data centers, power infrastructure, equipment, and services.

The most striking part?

A large portion of these obligations relates to agreements that have not even started yet and are disclosed mainly in the footnotes of financial statements.

Google stands out with around $896 billion in total commitments.

Oracle, on the other hand, has approximately $292 billion.

And this is, in my opinion, where the really important part begins.

The world’s largest technology companies are not simply spending a few billion dollars to experiment with AI.

They are committing capital and infrastructure for years.

Data centers.
Energy.
Chips.
Networking.
Cloud infrastructure.

The AI buildout is becoming one of the largest long-term investment cycles we have ever seen.

And as this infrastructure continues to expand, one question becomes increasingly important for investors:

Which companies will ultimately manage to turn these trillions of dollars in investment into real profits?

NBIS up nearly 10% and breaking above $210 ahead of earnings

Meta unveiled a new AI model, while Mark Zuckerberg called for fewer restrictions on open-source and open-weight models in the U.S., arguing that this would help American companies compete more effectively with China.

The most important takeaway is not the model itself, but the broader trend: competition between Meta, Google, OpenAI, and Chinese AI companies continues to intensify.

This means even more investment in computing power—and therefore greater demand for AI infrastructure.

Tomorrow brings the most important economic data release of the week: July’s U.S. inflation report.

Economists expect approximately:

• CPI: 3.4% year-over-year

• Core CPI: 2.5% year-over-year

The announcement has become even more important following last week’s weak employment data. At the moment, the market sees roughly a 50/50 chance of an interest rate hike in September.

• Lower CPI → relief for the markets.

• Higher CPI → increased odds of another rate hike and potentially greater volatility.

Taiwan Semiconductor (TSM) announced that its July sales increased by approximately 45% year over year, reaching $14.5 billion. The main driver was the enormous demand for chips used in AI.

TSMC is arguably the most important chip manufacturer in the world. Companies such as Nvidia and Apple design their own chips, but rely heavily on TSMC to manufacture them.

During the first seven months of 2026, the company generated approximately $89.1 billion in revenue, representing a 37% increase compared with the same period last year.

Most importantly, the company does not appear to expect a slowdown. Instead, it raised its 2026 investment plan to a record $60–64 billion. In other words, TSMC is investing enormous amounts in new factories, equipment and production capacity because it expects demand to remain strong.

For the full year of 2026, the company expects sales growth of slightly more than 40%, while the market currently estimates growth of approximately 47% for the current quarter.

Another interesting point is that TSMC’s shares in Taiwan have risen approximately 50% since the beginning of the year, compared with around 20% for Nvidia.

The key takeaway is that, so far, there are no signs that the AI infrastructure boom is coming to an end. On the contrary, the company that essentially “makes the picks and shovels” for a large part of the industry continues to see tremendous growth in orders.