Berkshire CEO Greg Abel Calls Alphabet a 'Significant Player' in AI After Expanding Stake
Greg Abel, CEO of Berkshire Hathaway, highlighted Alphabet's strong position in artificial intelligence during an interview with CNBC. He noted that the conglomerate has increased its stake in Google-parent Alphabet by $17 billion in Q2, making it the third-largest holding in Berkshire’s equity portfolio. The investment was made at a 6.5% discount and is now valued at approximately $36.6 billion. Abel emphasized that AI's impact across Berkshire's operations has been clear, which contributed to their growing interest in Alphabet as one of the leading hyperscalers investing heavily in computing power for AI development. Goldman Sachs estimates global hyperscaler capital expenditures for 2026 at around $1 trillion, with significant variance among forecasts. The investment raises questions about how long it will take before these large-scale investments translate into returns and whether they are accurately reflected in current market expectations.
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Topics: AI investment Alphabet (Google) Berkshire Hathaway stock holdings