Tekedia Capital: Hyperscalers’ off-balance-sheet debt hits $1.65 trillion as AI infrastructure spending surges

Capital intensity extends beyond GPUs, with multi-billion-dollar data centers, networking, cooling, storage and power needs lifting operating costs.

The investment case hinges on AI revenue scaling fast enough to cover current costs and replacement cycles, as well as long-dated obligations. Slower adoption or pricing pressure could strain cash flow, raising the risk that commitments outpace earnings growth.

Tekedia Capital analysis flagged rising hidden leverage as hyperscalers ramp AI infrastructure spending driven by Nvidia GPU demand.

Nikkei research estimated $1.65 trillion in off-balance-sheet debt tied to long-term leases, financing structures and contract commitments for AI buildouts.