Alphabet Debt Soars from $11B to $70B After $20B Bond Sale and 100-Year Bond
Alphabet increased long-term debt to about $70B by layering on a $20B bond sale and a 100-year bond in early February, up from $11B at end-2024. The company forecasted $175B–$185B in 2026 capital expenditures on AI infrastructure, nearly doubling last year’s spend.
1. Rapid Debt Expansion
At the end of 2024, Alphabet held $11B in long-term debt. By late 2025, debt had swelled to $46.5B and on February 9 the company sold a further $20B in bonds, pushing total long-term obligations to roughly $70B.
2. Century Bond Issuance
Alphabet priced a 100-year bond alongside its February sale, marking the first such issuance by a major tech firm since 1997. This move embeds institutional investors like pension funds and insurers into the company’s capital structure, potentially aligning their interests in regulatory outcomes.
3. AI Infrastructure Spending
The company projects $175B–$185B in capital expenditures for 2026, up nearly 100% year-over-year, to build AI data centers and chips. Alphabet joins peers in budgeting over $650B across Big Tech for AI infrastructure, transitioning tech firms toward industrial-scale investment requirements.