Berkshire Hathaway CEO Greg Abel speaks to CNBC from Berkshire Hathaway’s annual meeting of shareholders on May 1, 2026 in Omaha, Nebraska.
David A. Grogan | CNBC
Berkshire Hathaway is increasing its bet on artificial intelligence and is one of the industry’s dominant players, investing another $10 billion alphabet through a private share purchase.
Alphabet said Monday that it had reached an agreement to sell $5 billion of its Class A shares to Berkshire at $351.81 apiece and another $5 billion of Class C shares at $348.20 a share. The deal expands the position Berkshire has quickly built over the past three quarters and marks one of the conglomerate’s largest stock investments in recent memory.
The latest purchase signals Berkshire’s growing belief that Alphabet is at the center of the AI ​​boom that spans search, cloud computing and digital infrastructure. It also offers a first look at CEO Greg Abel’s capital allocation approach, suggesting that Warren Buffett’s successor is poised to invest significant sums in technology companies as Berkshire looks for new ways to deploy its nearly $400 billion in cash in late March.
This stance marks a shift for a group that has traditionally favored companies with more predictable economics. Buffett famously called Berkshire’s investment in Apple a consumer bet.
The deal comes after Berkshire first announced a stake in Alphabet in the third quarter of 2025, when it bought around 17.8 million shares. Since then, the conglomerate has dramatically increased its investments in two consecutive quarters, making the Google parent company one of Berkshire’s largest holdings.
Berkshire’s commitment is part of a broader $80 billion stock sale announced by Alphabet. The company said it plans to use the proceeds for general corporate purposes, including investments in expanding its AI infrastructure and global computing capacity. Google’s parent company said the capital will “fund investments in its world-class AI computing infrastructure to meet unprecedented customer demand.”
The move comes just a day after Berkshire agreed to acquire homebuilder Taylor Morrison Home in a $6.8 billion cash deal.
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