Alphabet Raises Nearly $32 Billion in Multi-Currency Bond Sale to Fuel AI and Data Center Expansion
February 11, 2026
In a landmark move to finance an unprecedented wave of capital expenditure, Alphabet Inc., the parent company of Google, has successfully raised close to $32 billion through a series of major debt offerings. This massive capital raise comes just one week after the tech giant signaled its intent to nearly double its infrastructure spending in 2026, highlighting the immense financial scale required to compete in the global artificial intelligence arms race. The fundraising spree, first reported by Bloomberg, was executed through multiple tranches across different currencies. The core offering was a $20 billion debt sale on February 9, split into seven parts. This was complemented by a sterling-denominated offering valued at $5.5 billion, which included maturities ranging from three to 32 years and attracted a staggering £30 billion ($41 billion) in investor bids. Notably, the sterling tranche featured a rare 100-year "century bond" valued at £1 billion ($1.4 billion), which alone drew £9.5 billion ($13 billion) in demand. A separate Swiss franc offering is set to raise a minimum of 2.75 billion francs ($3.6 billion). The urgency of this debt issuance is directly linked to Alphabet's aggressive growth plans. During its recent earnings call, executives revealed that capital expenditures are projected to surge to between $175 billion and $185 billion in 2026, up from $91.4 billion in 2025. The company stated that the "majority" of this historic outlay is earmarked for expanding its global data center footprint and building out the computational infrastructure necessary for AI development. The century bond, in particular, underscores the company's long-term commitment to this infrastructure build-out, marking the first offering of its kind since Motorola's in 1997. Major financial institutions including Bank of America, Goldman Sachs, and JPMorgan Chase arranged the offerings, with several other global banks participating. This transaction follows a $7.7 billion euro bond sale by Google in November 2025, indicating a sustained strategy to tap international debt markets. The move by Alphabet is part of a broader industry trend, as hyperscale cloud providers collectively prepare for record-breaking investments. Morgan Stanley analysts anticipate borrowing by these major cloud-computing firms could reach $400 billion this year, a significant increase from $165 billion in 2025. Rival Oracle also recently launched a $25 billion bond offering, signaling that the sector-wide financing boom is well underway. This surge in debt issuance reflects the critical and capital-intensive nature of scaling AI capabilities, setting the stage for intensified competition and accelerated technological advancement across the cloud infrastructure landscape.
Source: datacenterdynamics
