Berkshire Hathaway CEO Greg Abel speaks to CNBC from Berkshire Hathaway’s annual shareholder meeting in Omaha, Nebraska, on May 1, 2026.
David A. Grogan | CNBC
Berkshire Hathaway is deepening its bet on artificial intelligence and one of the industry’s leading companies, investing an additional $10 billion. alphabet Through private equity purchases.
Alphabet announced Monday that it has reached an agreement to sell $5 billion worth of Class A stock to Berkshire for $351.81 per share and an additional $5 billion worth of Class C stock to Berkshire for $348.20 per share. The deal builds on the position Berkshire has built rapidly over the past three quarters, making it one of the conglomerate’s largest equity investments in recent days.
The acquisition signals Berkshire’s growing belief that Alphabet is at the center of the AI boom across search, cloud computing and digital infrastructure. It also provides an early glimpse into CEO Greg Abel’s approach to capital allocation, suggesting Warren Buffett’s successor is prepared to spend heavily on tech companies as Berkshire seeks new avenues to deploy its cash pile of nearly $400 billion at the end of March.
This stance marks a shift for conglomerates, which have traditionally favored companies with more predictable economics. Buffett famously characterized Berkshire’s investment in Apple as a bet on consumers.
The transaction comes after Berkshire first publicly announced Alphabet stock in the third quarter of 2025, purchasing approximately 17.8 million shares. Since then, the conglomerate has dramatically increased its investments for two consecutive quarters, turning Google’s parent company into one of Berkshire’s biggest positions.
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 capital expenditures to expand AI infrastructure and global computing capacity. Google’s parent company said the capital will “fund investments in world-class AI computing infrastructure to meet unprecedented customer demand.”
The move comes just one day after Berkshire agreed to acquire homebuilder Taylor Morrison Home in a $6.8 billion cash deal.
