Bota Posted on 2026-02-11 10:34:00

AI steals investors, $20 billion bond sale - Alphabet funds spending on artificial intelligence

From Dorian Koça

AI steals investors, $20 billion bond sale - Alphabet funds spending on

Google parent Alphabet said on Monday it had sold $20 billion in bonds in a seven-tranche offering, tapping the debt market to finance its growing spending on artificial intelligence infrastructure. Big

tech companies’ appetite for financing is growing after years of relying on strong cash flows to support investments.

However, the move by big tech companies to the bond market has raised concerns among investors, as payments have not kept pace with the pace of big spending on AI by US tech giants, while businesses that have adopted the technology have so far seen limited productivity gains.

Capital spending by Alphabet, Microsoft, Amazon, and Meta Platform is expected to total nearly $630 billion this year, with most of the spending focused on data centers and the artificial intelligence chips that power them.

Meanwhile, the desire of entrepreneurs for an efficient development infrastructure through the use of AI is not seen so easily by market analysts.

“The bonds of the century are usually owned by governments or regulatory services with very predictable cash flows, so this deal shows that investors are willing to take on the very long-term risk associated with investments in artificial intelligence,” thus expressing once again the risk posed by this colossal investment.

 

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