Big Tech's AI Bill Is $3 Trillion Bigger Than It Looks

August 17, 2026

AI Summary

5 min read

The defense contractor L3Harris Technologies has ousted its chairman and CEO, Christopher Kubasik, after an investigation found he violated the company's code of conduct. The company did not provide details of the misconduct but said it did not affect financial reporting, customer relationships, or operations. Sameta, who previously ran L3Harris's space and communication systems unit, has been named the new president and CEO. The company's shares fell more than 4% on the news.

Meanwhile, private equity firm General Atlantic has refreshed its confidential IPO filing with the SEC, a move that could lead to a public offering before the end of the year. The firm manages about $130 billion and holds investments in AI company Anthropic and clothing company Viori. It first filed confidentially for an IPO in late 2023 but did not move ahead at that time.

Big Tech's Hidden $3 Trillion AI Bet

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What you'll learn

1 (00:00) **Episode Open & Top Stories Preview** - Sabrina Sidiki introduces the PM edition of What's News, previewing the top three stories: L3Harris CEO ousted, big tech's hidden AI spending, and Houthi rebel escalation.
2 (01:17) **L3Harris Ousts CEO After Misconduct Probe** - Defense contractor L3Harris Technologies fires its chairman and CEO, Christopher Kubasek, following an internal investigation into his conduct.
3 (02:00) **General Atlantic Refiles for IPO** - The investment firm General Atlantic, managing about $130 billion and holding stakes in Anthropic and Viori, has refreshed its SEC paperwork for a potential IPO before the end of the year.
4 (02:26) **Big Tech's $3 Trillion in Hidden AI Spending** - A new WSJ analysis reveals that nine major tech companies, including Alphabet, Amazon, Meta, and Microsoft, have roughly $3 trillion in off-balance-sheet AI commitments, far exceeding the $600 billion in traditional capex.
5 (05:13) **OpenAI Signs 20-Year Lease for Giant Data Center** - OpenAI has signed a 20-year lease for a 10-gigawatt data center in Southern Ohio with SoftBank's SP Energy, one of the largest AI infrastructure projects ever announced.
6 (05:50) **Segment Break & Commercials** - A short break with a Kia advertisement.
7 (06:14) **Trump Threatens to Bomb Oman Over Iran Blockade** - President Trump warns he will bomb Oman if it interferes with the U.S. blockade of Iranian ships, escalating tensions with a nation that has positioned itself as a neutral broker with Iran.

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Show Notes

P.M. Edition for Aug. 17. Wall Street Journal reporter Peter Rudegeair discusses why the top technology companies have huge AI spending commitments that aren’t reflected on their balance sheets. WSJ’s Jared Malsin explains how renewed Houthi attacks on Red Sea shipping are threatening another critical chokepoint for global energy as the Iran war spills into neighboring countries. And U.K. correspondent Max Colchester unpacks how the death of former Cambridge professor Jason Arday is reigniting Britain’s culture wars. Sabrina Siddiqui hosts.

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