Berkshire Hathaway Invests $10B in Alphabet’s $80B AI Raise
Warren Buffett famously passed on Google. His successor is making sure Berkshire does not make the same mistake twice. Berkshire Hathaway is deepening its bet on artificial intelligence by investing an additional $10 billion in Alphabet through a private stock purchase, as part of a broader $80 billion stock sale announced by Alphabet.
The Berkshire Hathaway Alphabet investment is split evenly. Berkshire purchased $5 billion of Alphabet Class A voting shares at an average cost of $351.81 per share and another $5 billion of Class C shares at $348.20 per share. This latest move adds to a position Berkshire has been rapidly building.
Berkshire first disclosed a stake in Alphabet during the third quarter of 2025, when it purchased roughly 17.8 million shares, and has dramatically increased its investment for two consecutive quarters since, turning the Google parent into one of Berkshire’s biggest positions.
Greg Abel’s Biggest Signal Yet
Alphabet’s $80 billion equity raise one of the largest ever undertaken by a major technology company includes a $30 billion underwritten public offering of depositary shares, Class A common shares and Class C capital stock, plus a $40 billion at-the-market programme launching in Q3 2026, and the $10 billion Berkshire private placement.
The scale of the raise reflects how expensive the AI race has become. Meta, Microsoft, Alphabet, and Amazon’s combined capex spending doubled to $450 billion in 2025 and expected to exceed $700 billion this year. Alphabet intends to use the proceeds to scale AI infrastructure and global compute to meet unprecedented customer demand.
For Berkshire, this is a philosophical shift. The stance marks a departure for a conglomerate that has traditionally favoured businesses with more predictable economics and signals that new CEO Greg Abel is willing to commit significant sums to tech companies in a way that Buffett rarely did. The Alphabet bet is no longer a footnote in Berkshire’s portfolio. It is a statement of intent.
