Google CEO Sundar Pichai speaks during the 2026 Google I/O technology developer conference in Mountain View, California, on May 19, 2026.
Karl Mondon | AFP | Getty Images
Alphabet said Monday it plans to sell $80 billion in stock, including through a $10 billion investment by Berkshire Hathaway.
The Google parent company said in a statement that the capital will “fund investments in its world-class AI compute infrastructure to meet its unprecedented customer demand.”
“The company is experiencing strong demand for its AI solutions and services from enterprises and consumers, at levels that are exceeding the company’s available supply,” Alphabet said. “By scaling its investments, the company seeks to expand its foundational infrastructure to support the significant growth opportunity ahead.”
Google is significantly ramping up spending on artificial intelligence as it races to keep up with tech’s other hyperscalers. The company in April revised its capital expenditure forecast this year to between $180 billion and $190 billion, up from its previous estimate of $175 billion to $185 billion. At the time, when asked what keeps Google executives up at night, CEO Sundar Pichai said “compute capacity.”
“Be it power, land, supply chain constraints, how do you ramp up to meet this extraordinary demand for this moment?” he said.
Alphabet, Microsoft, Meta and Amazon are expected to pour more than $700 billion combined this year into capex. Wall Street analysts estimate total AI capex could climb above $1 trillion in 2027.
Alphabet’s stock has more than doubled in the past year, outperforming all the company’s megacap peers, as investors applaud its AI investments and the returns Google is seeing through its Gemini upgrades. The stock slipped in extended trading on Monday.
In addition to the $10 billion from Berkshire, Alphabet plans $30 billion in underwritten offerings, including $15 billion in “depositary shares representing mandatory convertible preferred stock.” The remaining $40 billion will come from an at-the-market offering program for Class A and Class C shares, expected to begin in the third quarter.
Goldman Sachs, JPMorgan Chase and Morgan Stanley are acting as joint book-running managers for the underwritten offerings, and Goldman is the placement agent for the private placement.
Berkshire has been building a position in Alphabet since the third quarter of last year. Prior to Monday’s announcement, the investment company’s stake in the search giant was worth about $20 billion, one of its top positions.
When Berkshire revealed a $4.3 billion bet on Alphabet in November, it marked one of its most significant technology investments in years. Apple’s is the firm’s largest holding.
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