Alphabet Heads to Bond Market

This article first appeared on GuruFocus.

Alphabet Inc. (NASDAQ:GOOG) is heading back to the bond market as it looks for more firepower to fund its massive push into artificial intelligence.

The company said Monday it plans to raise money through a bond sale, without putting a number on it. According to Bloomberg, Alphabet is initially looking to raise about $15 billion, though the deal could grow to roughly $20 billion after investor demand came in far stronger than expected. Orders were said to be nearing $100 billion, a sign that investors are still eager to lend to Big Tech.

The timing isn’t surprising. Alphabet recently said it expects to spend between $175 billion and $185 billion on capital expenditures in 2026 as it ramps up AI across search, cloud, and its broader platform.

Shares were slightly higher in afternoon trading, suggesting investors are comfortable with the move. More broadly, the bond sale highlights how even cash rich tech giants are leaning on debt markets to fund the next leg of the AI buildout.