Sell-Side Warning: Google’s AI Capital Expenditure Set to Hit a New High, Projected to Reach $250 Billion by 2027

According to The Wall Street Journal, sources familiar with the matter revealed that OpenAI has raised its projected cloud services spending from $600 billion to $750 billion. The company plans to invest over $30 billion to build new data centers.

Crypto whale "Set 10 Big Goals First" posted on social media about a 4x leveraged short position on Bitcoin, reporting an unrealized profit of over $980,000 and a 2.19% return on investment. He noted, "This is a short-term short on Bitcoin." Earlier reports showed the same crypto whale closed out his long Bitcoin position for a profit in the early hours of today, netting $6.019 million. He said, "The uptrend remains unchanged; I took profits on this position to lock in gains and will take a two-day break."

According to Reuters, prediction market platform Polymarket said it will challenge the French regulator’s decision to block its website via French legal proceedings. Polymarket expressed disappointment over the regulator’s sudden, unilateral blocking action. Last week, France ordered local internet service providers to block Polymarket, citing risks of significant user losses and potential manipulation in some of its markets. As prediction markets grow rapidly in popularity, regulators worldwide are stepping up scrutiny. In May this year, the Spanish government temporarily banned Polymarket and its competitor Kalshi from operating in the country; in June, the U.S. Commodity Futures Trading Commission released a new regulatory draft targeting the prediction market industry.

According to The Wall Street Journal, AMD (AMD.O) has signed a major chip and investment deal with Anthropic. AMD will invest $5 billion in Anthropic as part of the chip transaction, while Anthropic will start purchasing up to 2 gigawatts of AMD’s (AMD.O) latest-generation chips in the first half of 2027.

According to The Wall Street Journal, Coinbase Chief Legal Officer Paul Grewal said the crypto exchange has reached a settlement with the U.S. Securities and Exchange Commission (SEC) over a Freedom of Information Act (FOIA) lawsuit. Under the deal, the SEC will pay $150,000 and revise its record-keeping policy. The lawsuit stemmed from the SEC’s loss of nearly a year’s worth of communications between former Chair Gary Gensler and other senior officials during a peak period of crypto industry enforcement. Coinbase had previously requested the SEC to provide documents outlining how it applies securities laws to digital assets, a demand that was rejected. The exchange then filed the lawsuit and secured a court ruling in its favor. The SEC attributed the lost text messages to an automatic data deletion process. Grewal noted the SEC has previously fined financial institutions billions of dollars for similar record-keeping lapses. This February, Coinbase also reached a settlement with the U.S. Federal Deposit Insurance Corporation (FDIC) over another FOIA lawsuit. Coinbase said that case revealed the FDIC had ordered nearly 20 banks to halt crypto asset-related operations starting in 2022. The resulting documents later sparked congressional hearings and led a court to find the FDIC violated federal law. Grewal stated both lawsuits center on government transparency and due process, adding that the American public has a right to know whether regulators are restricting access to banking services for legitimate crypto firms through non-public means.

Independent research firm TS Lombard’s report indicates that South Korean storage chip stocks are valued near fair levels, though market expectations for storage companies’ future earnings may still be overly optimistic. Quarterly growth in traditional DRAM contract prices slowed from 93%–98% in the first quarter to 58%–63% in the second quarter; TrendForce projects it will further decelerate to 13%–18% in the third quarter. The spot market is stabilizing, with DRAM and HBM prices also starting to fall. The report points out that long-term supply agreements provide a floor for sales volumes and prices, but also limit suppliers’ ability to continue raising prices, and related protections will gradually weaken over the next year, making it difficult to support further large upward adjustments to earnings expectations. For HBM, 2026 annual contract price hikes lag behind traditional DRAM, and HBM’s first-quarter earnings were even lower than those of 64GB DDR5 RDIMMs. While larger chip sizes and wafer resource competition in 2027 theoretically should boost suppliers’ bargaining power, more players are entering the market: ChangXin Memory Technologies has begun sampling, global trackable DRAM capacity is projected to reach around 2.1 million units per month by the end of 2026, and TSMC has also entered the HBM4 base chip and packaging segments. Current consensus market expectations peg storage companies’ 2027 EPS growth at 36%–40%, but TrendForce forecasts unit supply growth of only 15%–20%. TS Lombard believes that current share prices of Samsung Electronics and SK Hynix largely reflect a scenario where 2027 earnings are 40%–50% lower than the market consensus, with valuations near fair levels, though storage cycle risks have not fully dissipated.