{"id":837639,"date":"2026-06-01T21:43:14","date_gmt":"2026-06-01T21:43:14","guid":{"rendered":"https:\/\/www.europesays.com\/us\/837639\/"},"modified":"2026-06-01T21:43:14","modified_gmt":"2026-06-01T21:43:14","slug":"alphabet-to-raise-80-billion-from-stock-sales-to-fund-ai-buildout","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/us\/837639\/","title":{"rendered":"Alphabet to raise $80 billion from stock sales to fund AI buildout"},"content":{"rendered":"<p>Google CEO Sundar Pichai speaks during the 2026 Google I\/O technology developer conference in Mountain View, California, on May 19, 2026. <\/p>\n<p>Karl Mondon | AFP | Getty Images<\/p>\n<p><a href=\"https:\/\/www.cnbc.com\/quotes\/GOOG\/\" rel=\"nofollow noopener\" target=\"_blank\">Alphabet<\/a> said Monday it plans to sell $80 billion in stock, including through a $10 billion <a href=\"https:\/\/www.cnbc.com\/2026\/06\/01\/berkshire-hathaway-alphabet-investment.html\" rel=\"nofollow noopener\" target=\"_blank\">investment<\/a> by Berkshire Hathaway.<\/p>\n<p>The Google parent company said in a <a href=\"https:\/\/s206.q4cdn.com\/479360582\/files\/doc_news\/2026\/Jun\/01\/attachments\/2026-June-Alphabet-Equity-Capital-Raise-Press-Release-PDF.pdf\" target=\"_blank\" rel=\"nofollow noopener\">statement<\/a> that the capital will &#8220;fund investments in its world-class AI compute infrastructure to meet its unprecedented customer demand.&#8221;<\/p>\n<p>&#8220;The company is experiencing strong demand for its AI solutions and services from enterprises and consumers, at levels that are exceeding the company&#8217;s available supply,&#8221; Alphabet said. &#8220;By scaling its investments, the company seeks to expand its foundational infrastructure to support the significant growth opportunity ahead.&#8221;<\/p>\n<p>Google is significantly ramping up spending on artificial intelligence as it races to keep up with tech&#8217;s other hyperscalers. The company in April <a href=\"https:\/\/www.cnbc.com\/2026\/04\/30\/alphabet-meta-stock-ai-capex-spend.html\" rel=\"nofollow noopener\" target=\"_blank\">revised<\/a> 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 <a href=\"https:\/\/www.cnbc.com\/2026\/02\/04\/alphabet-resets-the-bar-for-ai-infrastructure-spending.html\" rel=\"nofollow noopener\" target=\"_blank\">up at night<\/a>, CEO <a href=\"https:\/\/www.cnbc.com\/sundar-pichai\/\" rel=\"nofollow noopener\" target=\"_blank\">Sundar Pichai<\/a> said &#8220;compute capacity.&#8221; <\/p>\n<p>&#8220;Be it power, land, supply chain constraints, how do you ramp up to meet this extraordinary demand for this moment?&#8221; he said.<\/p>\n<p>Alphabet, <a href=\"https:\/\/www.cnbc.com\/quotes\/MSFT\/\" rel=\"nofollow noopener\" target=\"_blank\">Microsoft<\/a>,\u00a0<a href=\"https:\/\/www.cnbc.com\/quotes\/META\/\" rel=\"nofollow noopener\" target=\"_blank\">Meta<\/a>\u00a0and\u00a0<a href=\"https:\/\/www.cnbc.com\/quotes\/AMZN\/\" rel=\"nofollow noopener\" target=\"_blank\">Amazon<\/a>\u00a0are 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.<\/p>\n<p>Alphabet&#8217;s stock has more than doubled in the past year, outperforming all the company&#8217;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. <\/p>\n<p>In addition to the $10 billion from Berkshire, Alphabet plans $30 billion in underwritten offerings, including $15 billion in &#8220;depositary shares representing mandatory convertible preferred stock.&#8221; 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.<\/p>\n<p><a href=\"https:\/\/www.cnbc.com\/quotes\/GS\/\" rel=\"nofollow noopener\" target=\"_blank\">Goldman Sachs<\/a>, <a href=\"https:\/\/www.cnbc.com\/quotes\/JPM\/\" rel=\"nofollow noopener\" target=\"_blank\">JPMorgan Chase<\/a> and <a href=\"https:\/\/www.cnbc.com\/quotes\/MS\/\" rel=\"nofollow noopener\" target=\"_blank\">Morgan Stanley<\/a> are acting as joint book-running managers for the underwritten offerings, and Goldman is the placement agent for the private placement.<\/p>\n<p>Berkshire has been building a position in Alphabet since the third quarter of last year. Prior to Monday&#8217;s announcement, the investment company&#8217;s stake in the search giant was worth about $20 billion, one of its top positions. <\/p>\n<p>When Berkshire <a href=\"https:\/\/www.cnbc.com\/2025\/11\/17\/alphabet-rallies-after-berkshire-reveals-stake-why-buffetts-firm-likely-bought-it.html\" rel=\"nofollow noopener\" target=\"_blank\">revealed<\/a> a $4.3 billion bet on Alphabet in November, it marked one of its most significant technology investments in years.\u00a0<a href=\"https:\/\/www.cnbc.com\/quotes\/AAPL\/\" rel=\"nofollow noopener\" target=\"_blank\">Apple&#8217;s<\/a>\u00a0is the firm&#8217;s largest holding.<\/p>\n<p><strong>WATCH:<\/strong> <a href=\"https:\/\/www.cnbc.com\/video\/2026\/05\/19\/alphabet-unveils-new-ai-model-smart-glasses-at-google-io.html\" rel=\"nofollow noopener\" target=\"_blank\">Alphabet unveils new AI model, smart glasses at Google I\/O<\/a><\/p>\n<p><img decoding=\"async\" class=\"InlineVideo-videoThumbnail\" src=\"https:\/\/www.europesays.com\/us\/wp-content\/uploads\/2026\/06\/108309476-1779238206075-1779226813-46052615851-hd.jpg\" alt=\"Alphabet unveils new AI model, smart glasses at Google I\/O\"\/><a href=\"https:\/\/www.google.com\/preferences\/source?q=https:\/\/www.cnbc.com\/\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Google CEO Sundar Pichai speaks during the 2026 Google I\/O technology developer conference in Mountain View, California, on&hellip;\n","protected":false},"author":3,"featured_media":837640,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[6],"tags":[68226,23000,3453,4960,71411,11732,64,81,3722,7074,16209,3747,14229,13201,345,18750,158,67,132,68],"class_list":["post-837639","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-alphabet-class-a","tag-alphabet-class-c","tag-amazon-com-inc","tag-apple-inc","tag-berkshire-hathaway-inc","tag-breaking-news-technology","tag-business","tag-business-news","tag-enterprise","tag-goldman-sachs-group-inc","tag-jpmorgan-chase-co","tag-meta-platforms-inc","tag-microsoft-corp","tag-morgan-stanley","tag-social-media","tag-sundar-pichai","tag-technology","tag-united-states","tag-unitedstates","tag-us"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/116677037916882312","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/837639","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=837639"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/837639\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/837640"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=837639"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=837639"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=837639"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}