Berkshire Hathaway Just Agreed to Put $10 Billion Into Alphabet's AI Build-Out. Should Investors Follow?
2026-06-05 18:31:00 ET
It isn't every day that one of the most profitable companies on the planet asks investors for cash. But that is effectively what Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) did earlier this week, announcing a $84.75 billion equity capital raise -- the largest equity raise in U.S. corporate history -- to help fund its enormous artificial intelligence (AI) build-out.
In a notable show of support, Warren Buffett's Berkshire Hathaway (NYSE: BRKA) (NYSE: BRKB) agreed to buy $10 billion of that stock through a private placement.
The move stands out. Alphabet, which generates more cash than almost any company in the world, rarely needs outside money. And Berkshire's commitment is one of the bigger bets new CEO Greg Abel has made since taking the reins from Buffett at the start of the year.
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