Alphabet Inc. raised $20 billion in a U.S. bond sale on February 9 to finance escalating investments in artificial intelligence. The company expanded its fundraising on February 10 by offering its first bonds denominated in sterling and Swiss francs. This issuance includes an ultra-rare 100-year sterling bond, a maturity not seen from a technology firm since the dot-com era.
Alphabet will use the capital to fund a significant increase in capital expenditures. Projected capital spending will reach $185 billion in 2026, nearly doubling the previous year's total. These funds will build infrastructure, including data centers and servers, to support AI development and compete with other tech giants.
Investor demand for the initial U.S. offering exceeded $100 billion. This reception allowed Alphabet to secure favorable borrowing terms. The sale signals market confidence in the company's long-term AI strategy despite heavy spending plans across the sector.