Google: $698 Million in CapEx in 2Q08

Google (GOOG) spent $698 million on its infrastructure in the second quarter of 2008, a slight drop from a record first quarter but still among the largest quarterly capital expenditures yet, the company said yesterday. While falling short of matching the $842 million in the first quarter, the latest capex figure virtually matches the previous high of $699 million in the second quarter of 2006. The record capex investment reflects the acceleration of Google’s data center construction program in 2007. Here’s a look at the trend:

Google Capex Trend, 2006-2008

  • 1Q 2006: $345 million
  • 2Q 2006: $699 million
  • 3Q 2006: $492 million
  • 4Q 2006: $367 million
  • 1Q 2007: $597 million
  • 2Q 2007: $575 million
  • 3Q 2007: $553 million
  • 4Q 2007: $678 million
  • 1Q 2008: $842 million
  • 2Q 2008: $698 million

The capital expenditures are dedictaed to ongoing construction on the four major data center projects Google announced in the U.S. in 2007, including facilities in North Carolina, South Carolina, Oklahoma and Iowa. Google says its capital expenditures are “related to IT infrastructure investments, including data centers, servers, and networking equipment.”

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About the Author

Rich Miller is the founder and editor at large of Data Center Knowledge, and has been reporting on the data center sector since 2000. He has tracked the growing impact of high-density computing on the power and cooling of data centers, and the resulting push for improved energy efficiency in these facilities.