Microsoft Is Borrowing $25 Billion for AI, Its First Bond Sale Since 2017

Microsoft Is Borrowing  Billion for AI, Its First Bond Sale Since 2017

By Omor Ibne Ehsan
Publication Date: 2026-10-30 12:12:00

Microsoft holds more cash than most countries, yet it just lined up to borrow from bond markets for the first time in nearly a decade. The reason reveals something uncomfortable about what AI is actually costing the world’s most creditworthy…

On October 29, 2026, Microsoft (NASDAQ:MSFT | MSFT Price Prediction) priced $25 billion of senior unsecured bonds. It was the company’s first U.S. dollar bond sale since 2017, the year it raised $17 billion. Orders topped out at $115 billion, or 4.6 times the deal size.

The stock hardly moved. Shares closed that day at $530.14, down 0.16%, for a market value of $3.94 trillion. That came after a 4.1% after-hours jump to $552.55 on October 28, which faded.

Bond buyers accepted a premium for rare AAA debt from the strongest borrower in corporate America,…