Berkshire Doubles Down on Alphabet as AI Capex Hits Trillion-Dollar Mark

Berkshire Hathaway's Greg Abel discussed the conglomerate's massive investment in Google parent Alphabet, calling the tech giant a 'significant player' in artificial intelligence. The $10 billion stake was taken 15 months ago at a 6.5% discount.

The investment brought incremental interest for Berkshire due to its clear view of AI impacts across its portfolio companies, with Google's position being strong. Abel noted that Berkshire had visibility on how AI benefits were delivering within its companies and saw Google as a major player in this emerging technology.

Berkshire added $17 billion of Alphabet shares in the second quarter, making it the third-largest holding in the equity portfolio. The conglomerate owns around 106 million Alphabet Class A and C shares, currently worth about $36.6 billion.