Alphabet Inc. (GOOG) unveiled plans to raise up to $80 billion in equity capital to finance the expansion of its AI infrastructure and computing capacity.
The Google parent said the fundraising plan includes $30 billion in public offerings, comprising $15 billion of mandatory convertible preferred stock and $15 billion of Class A and Class C common stock. The company also announced a $40 billion at-the-market stock offering program, which is expected to begin in the third quarter of 2026.
Additionally, Alphabet agreed to sell $10 billion of stock to Berkshire Hathaway Inc. in a private placement. The investment consists of $5 billion in Class A and $5 billion in Class C shares and adds to Berkshire's existing stake in the company.
Alphabet said proceeds from the public offerings and private placement will be used for general corporate purposes, including capital expenditures to expand AI infrastructure and computing capacity.
During its first-quarter earnings call, Alphabet said it expects capital expenditures of between $180 billion and $190 billion in 2026, with spending set to rise significantly in 2027.
Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC are serving as joint book-running managers for the underwritten offerings. Goldman Sachs is also acting as placement agent for the $10 billion private placement.
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