Alphabet has revealed plans to sell $80 billion worth of stock, which includes a $10 billion investment from Berkshire Hathaway, as the company seeks to expand its foundational infrastructure.
The parent company of Google stated: “Alphabet intends to use the net proceeds from the concurrent underwritten public offerings and the concurrent private placement for general corporate purposes, including capital expenditures to scale AI infrastructure and global compute.”
During its Q1 2026 earnings call, Alphabet announced that its 2026 capital expenditures are expected to be $180-$190 billion, and that it expects 2027 capital expenditures to significantly increase compared to 2026.
Alphabet, Microsoft, Meta, and Amazon are expected to invest over $700 billion combined this year in capital expenditures. Wall Street analysts predict that total AI capital spending could exceed $1 trillion by 2027.
Berkshire has been increasing its stake in Alphabet since the third quarter of last year. Before the announcement, the investment company’s holdings in the search giant were valued at about $20 billion.
By CEO NA Editorial Staff
