By Matthew Benjamin
Publication Date: 2026-02-13 15:45:00
Alphabet just tapped bond markets for billions to fund its AI spending plan.
This week, Alphabet (GOOG 1.27%) (GOOGL 1.08%), the parent company of Google and YouTube, issued $32 billion in new debt over the course of 24 hours. It sold $20 billion in U.S. dollar-denominated bonds and another $12 billion in bonds denominated in sterling and Swiss francs. The sterling offering included a rare 100-year note.
That might sound like an odd move by a company valued at nearly $3.9 trillion, with more than $126 billion in cash and short-term investments available.
So, why is Alphabet taking on so much new debt? To continue its massive spending spree on AI data centers and infrastructure. Last week Alphabet announced plans to spend $185 million this year alone on its AI buildout of massive cloud-computing data centers. That’s double what it spent last year.
Image source: Getty Images.
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