Google plans to issue $20 billion in bonds to increase funding for its AI spending.

According to reports, Google's parent company Alphabet plans to raise $20 billion through its US dollar bond issuance, exceeding the initial estimate of $15 billion. Sources say that Alphabet's US dollar bond issuance on Monday attracted over $100 billion in orders, with the bonds being divided into seven tranches. The longest tranche of the bonds, maturing in 2066, was priced 0.95 basis points higher than US treasuries. In addition, Alphabet is also pitching its inaugural bond issuance plans in Switzerland and the UK. The UK market issuance may include a rare 100-year bond - the first time a tech company has attempted to issue such a long-term bond since the late 1990s internet bubble period. Morgan Stanley, Goldman Sachs, and Bank of America are assisting in managing Alphabet's US dollar bond issuance. Deutsche Bank, Royal Bank of Canada, and Wells Fargo are also participating in underwriting this transaction. Google released its fourth-quarter 2025 financial report last week, with revenue and profits exceeding analyst expectations. However, the company also stated that capital expenditures this year could reach as high as $185 billion, far surpassing Wall Street's expectations. Google is just one player in the artificial intelligence arms race, as Meta, Microsoft, and Amazon have all announced large capital expenditure plans. The four tech companies together are expected to spend a total of $650 billion this year, mainly on expanding AI infrastructure.