Alphabet, a multinational technology conglomerate and parent company of Google, announced plans to raise US$ 80 billion through a combination of public equity offerings, an at-the-market (ATM) stock program, and a private placement with Berkshire Hathaway, as the company accelerates investment in AI infrastructure and compute capacity.
According to an Alphabet press release, the financing package includes US$ 30 billion of underwritten offerings, consisting of US$ 15 billion in common stock and US$ 15 billion in mandatory convertible preferred securities. Alphabet also plans to establish a US$ 40 billion ATM program beginning in Q3 2026 and has agreed to sell US$ 10 billion of stock to Berkshire Hathaway in a private placement.
The capital raise comes as Alphabet expands spending on data centers, AI compute, and related infrastructure to address demand that is exceeding available capacity. During its first-quarter 2026 earnings call, Alphabet projected capital expenditures between US$ 180 billion to US$ 190 billion in 2026 and indicated that spending will increase further in 2027.
Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, and Morgan Stanley & Co. LLC are acting as joint book-running managers for the underwritten offerings. While Goldman Sachs & Co. LLC is acting as placement agent in relation to the private placement.
Net proceeds from the underwritten offerings and Berkshire Hathaway investment will be used for general corporate purposes, including AI infrastructure expansion. The ATM program is primarily intended to support an administrative change in how the company funds tax obligations associated with employee equity awards, with approximately US$ 30 billion of expected proceeds earmarked for those obligations during 2026.
The transaction adds to Berkshire Hathaway’s existing Alphabet position, which it began building in 2025.
Alphabet is funding its AI buildout through a combination of equity issuance, operating cash flow, and debt financing. The company generated US$ 174 billion in operating cash flow over the 12 months ended March 31, 2026, and has raised more than US$ 85 billion of debt over the past year, bringing total debt above US$ 100 billion.
The investment program follows strong growth across Alphabet’s businesses. First-quarter 2026 revenue rose 22 percent year over year (YoY) to US$ 110 billion, while Google Cloud revenue increased 63 percent. The company reported growing demand for AI services from enterprises, consumers, and developers, which has driven the need for additional compute capacity.