Alphabet halts Q1 buybacks after $180–190B AI spend, issues ¥576.5B bond
Alphabet halted share buybacks in Q1 after boosting AI investment to $180–190 billion, eliminating the $15.1 billion repurchases recorded a year earlier. The company raised ¥576.5 billion ($3.6 billion) through its first yen-denominated bond to diversify funding for AI infrastructure.
1. Q1 buyback suspension and AI spending
Alphabet increased AI investment to $180–190 billion in the first quarter while eliminating share repurchases entirely, compared with $15.1 billion of buybacks a year earlier. This shift underscores a strategic prioritization of AI development over capital returns.
2. Record yen bond issuance
Alphabet completed its inaugural yen-denominated bond sale, raising ¥576.5 billion ($3.6 billion) to diversify funding sources. Proceeds are earmarked for expanding AI infrastructure and global operations.
3. Pershing Square adds Alphabet as core holding
Bill Ackman’s Pershing Square USA fund recently designated Alphabet as a core holding, building on its late-2022 investment. This endorsement by a prominent investor could bolster demand for the stock.