Google hammers AI! Alphabet expands equity financing to $85 billion, securing a hundred-billion-dollar injection from Berkshire Hathaway

According to publicly available information, Google’s parent company Alphabet announced today (the 3rd) that it is increasing the size of its equity financing plan from $80 billion to approximately $84.75 billion, setting one of the largest financing records in history. This fundraising is intended to fully drive the expansion of AI infrastructure and computing capacity. A standout highlight is that Berkshire Hathaway will inject $10 billion through a private placement.
(Background recap: Google also says it has insufficient computing power—Alphabet increases its issuance by $80 billion to secure AI infrastructure, and Berkshire Hathaway rarely makes an investment of $10 billion)
(Additional background: How long until Bitcoin is broken by quantum computers? Google reveals the cracking threshold has dropped by 20 times; experts worry that a governance crisis could become fatal)

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• Financing structure revealed, Berkshire Hathaway invests $10 billion
• “Stockpile cash” to prepare for AI infrastructure
• Mixed market reaction, the AI race becomes a money-burning game

As the global artificial intelligence (AI) arms race heats up, tech giants are stockpiling funds at an unprecedented pace. On June 3, 2026, Google’s parent company Alphabet announced that it is expanding its previously disclosed $80 billion equity financing plan further to approximately $84.75 billion (nearly $85 billion). This is not only one of the largest equity financings in the history of global capital markets, but also underscores the extremely astonishing amount of capital consumption behind AI development.

Financing structure revealed, Berkshire Hathaway invests $10 billion

The structure of this $84.75 billion financing plan is quite diverse. $40 billion will be raised through an “at-the-market” (ATM) program, which is expected to begin selling shares to the public in the third quarter of 2026; the remaining approximately $34.75 billion will come from underwritten public offerings, including A shares, C shares, and mandatory convertible preferred stock.

What draws the most attention is that, led by Greg Abel, Berkshire Hathaway will subscribe to $10 billion worth of shares through a private placement. This includes $5 billion in A shares (about $351.81 per share) and $5 billion in C shares (about $348.20 per share). Backed with real money from a traditional value-investing giant, this undoubtedly sends a vote of confidence for Alphabet’s long-term competitiveness in the AI space.

“Stockpile cash” to prepare for AI infrastructure

Why does Alphabet urgently need such a large amount of capital right now? The core reason is that it is actively expanding its AI infrastructure, including data centers, self-developed chips (such as TPU), and improvements in overall computing capacity. According to recent earnings guidance, Alphabet has significantly raised its 2025 annual capital expenditure forecast to over $180 billion to $190 billion.

Benefiting from strong demand for AI, Google Cloud this year’s first quarter delivered an astonishing growth rate of more than 63%. Although Alphabet’s first-quarter revenue reached about $110 billion and it has strong cash flow, because it has already issued more than $85 billion in debt recently, it has chosen to raise funds by issuing new shares. This not only helps it avoid adding further debt burden, but also reflects a strategic shift after pausing share buybacks in the first quarter.

Mixed market reaction, the AI race becomes a money-burning game

In the face of the massive issuance of new shares, Alphabet’s stock price initially fell slightly due to market concerns about equity dilution (EPS decline). However, bullish investors view it as a strong signal that Alphabet is confident in the returns on its AI investments. They believe it will help Alphabet maintain a lead over competitors such as Microsoft, Meta, and Amazon.

This financing deal also reveals a harsh reality to the outside world: building AI infrastructure will be a deep pit that requires investing trillions of dollars. As a top listed company, Alphabet’s scale advantage allows it to flexibly and at massive scale draw resources from the capital markets. This will be a huge moat that future AI startups will find difficult to reach.