Google’s AI Spending Is Entering a New Phase

Evercore’s Mark Mahaney says the “Goldilocks” era of hyperscaler AI spending may be over ahead of $GOOGL earnings.
With investors becoming less willing to reward massive capital expenditures on their own, Google now needs to prove that its AI investments are translating into real business momentum.
The key numbers to watch: Google Cloud growth and the company’s contracted backlog .
A strong quarter may no longer be enough—$GOOGL needs clear evidence that demand is keeping pace with spending.