Berkshire Hathaway Invests $30 Billion in Alphabet Amid AI Growth
Warren Buffett, before stepping back from Berkshire Hathaway's day-to-day operations at the end of 2025, made a significant investment in Alphabet (GOOG), with the conglomerate now holding over $30 billion worth of shares. This includes both newly issued stock and open-market purchases. The move marks an unusual shift for Berkshire, which typically avoids heavy investments in technology companies. Buffett cited Google Search as a key reason for the investment but acknowledged Alphabet's broader strengths, particularly its AI infrastructure through Google Cloud. That division saw 82% year-over-year revenue growth to $24 billion and is now generating substantial operating income despite initial struggles just over a decade ago. The Oracle of Omaha also highlighted Alphabet’s strong EBIT margins and reasonable valuation metrics. The investment comes as part of an $80 billion equity offering by Alphabet in June 2026, aimed at funding AI infrastructure expansion. Berkshire's stake could signal confidence in the long-term potential of cloud computing and artificial intelligence.
Topics: AI investment Alphabet (GOOG) Berkshire Hathaway Nvidia (NVDA) Warren Buffett