Alphabet Stocks Plummet Amid Moonshot AI Debut

Alphabet Inc.'s Class C stock (GOOG) took a 10% hit in recent days, following the debut of Moonshot AI's open-weight Kimi K3 model. The downturn comes as Alphabet announced significant off-balance-sheet purchase commitments, totaling $811 billion as of June 30.

This figure represents a substantial increase from the $332 billion reported three months prior, primarily driven by investments in data-center technology, inventory, and long-term energy contracts extending to 2054. Berkshire Hathaway, one of Alphabet's largest shareholders, acquired an additional 48.1 million shares this quarter, with approximately 60% of these purchases made through a private placement with Alphabet worth $10 billion.

Alphabet is also exploring local-currency funding options by issuing its first Australian dollar-denominated bond, seeking tranches for 3-, 5-, 10-, and 20-year periods. The 3- to 5-year tranche may offer either fixed or floating rates, while the 10- to 20-year tranche will have a fixed rate.