Warren Buffett Invests in Alphabet, Citing Strong Growth and Future Potential
In Q3 2025, Berkshire Hathaway initiated a position in Alphabet stock. Warren Buffett himself confirmed the purchase despite his historical aversion to tech stocks. The investment has grown significantly since then, with Alphabet now among Berkshire's top five holdings. Alphabet’s cloud computing business is its fastest-growing segment and saw $24.8 billion in revenue during Q2 2025 — an 82% year-over-year increase. The company raised its capital expenditure guidance for 2026 to between $195 billion and $205 billion, reflecting strong demand for AI computing capacity. Alphabet also has promising long-term opportunities in areas like autonomous vehicles through Waymo, which operates a large robotaxi fleet across the U.S. Additionally, while facing antitrust lawsuits, Alphabet appears to be avoiding catastrophic legal outcomes that could have significantly impacted its operations.
Topics: AI Services Alphabet Berkshire Hathaway Cloud Computing Warren Buffett