Google's AI Spending Deepens Chip Crisis: $462B Waitlist and NVIDIA's Shadow

Google Cloud's doubling of its $462 billion backlog signals the company's entry into an AI capacity crisis. Q1 spending of $35.7 billion exceeded its annual target of $180-$190 billion. Sundar Pichai admitted potential $14.5 billion revenue loss due to capacity constraints. This positions Google in a tough spot, competing for GPUs both internally and for customers. Google's accelerating AI spending is intensifying tensions in the chip supply chain, with NVIDIA emerging as the leader. Google's omission from the top 10 AI stocks list underscores its position in the sector. The crisis marks a turning point where AI infrastructure has surpassed software competition as the limiting factor.