Google‘s parent company Alphabet Inc raised approximately $32 billion in debt in less than 24 hours, including rare 100-year bond, as the technology giant tapped global credit markets in one of the most aggressive corporate borrowing campaigns ever by a U.S. tech company.
The technology giant on Tuesday began selling multi-tranche bonds denominated in Swiss francs and British pounds, marking its first issuance in the Swiss franc market and expanding a borrowing push that began a day earlier with a record-setting U.S. dollar bond sale.
According to Bloomberg, the combined transactions underscore Alphabet’s growing reliance on debt markets to help finance massive long-term investments in artificial intelligence, cloud infrastructure and data centers, while taking advantage of strong investor demand across currencies and maturities.
Century Bond Draws Attention
Among the most closely watched parts of the offering was a 100-year sterling-denominated bond, a maturity rarely used by corporate issuers and almost unheard of in the technology sector. Alphabet became the first major tech company in nearly three decades to issue a century bond, following a similar move by IBM in 1996.
Century bonds are typically purchased by long-term institutional investors such as pension funds and life insurance companies that seek stable income streams to match extended liabilities. Despite the ultra-long maturity, investor demand was strong, reflecting confidence in Alphabet’s balance sheet and long-term business prospects.
Swiss Franc Market Debut
Alphabet’s Swiss franc offering marked its debut in the Swiss currency market, a venue traditionally favored by high-quality borrowers due to lower borrowing costs and a conservative investor base. The Swiss franc portion of the deal included bonds with maturities of three, six, 10, 15 and 25 years, according to people familiar with the transaction.
The sterling portion included tranches ranging from three years to 100 years, giving investors a broad spectrum of duration choices. Pricing for the Swiss franc and sterling bonds was expected to be finalized later Tuesday, following book-building with European institutional investors.
Market participants said demand was spread across asset managers, pension funds and insurance companies, with particular interest in the longer-dated tranches.
Dollar Deal Set the Stage
The international bond sale followed Alphabet’s $20 billion U.S. dollar offering on Monday, which was upsized from an initial $15 billion after attracting more than $100 billion in orders, according to market sources. That deal alone ranked among the largest corporate bond sales in history.
Taken together, Alphabet raised roughly $32 billion across multiple currencies in less than a day, highlighting the depth of global demand for investment-grade corporate debt from highly rated issuers.
Analysts said the speed and scale of the fundraising reflected both Alphabet’s credit strength and investors’ eagerness to deploy capital amid expectations that interest rates may eventually decline.
Funding AI and Infrastructure
Alphabet has signaled that a significant portion of the proceeds will support capital expenditures tied to artificial intelligence, including advanced computing chips, data centers and cloud infrastructure. The company has said it plans to invest up to $185 billion in 2026, roughly double its spending in the prior year.
The borrowing spree places Alphabet among a growing group of technology companies turning to debt markets to fund expansion, even as they generate substantial cash flow. Other major firms, including Meta Platforms and Microsoft, have also announced elevated capital spending plans related to AI development. Last month, The Gignomist covered Microsoft’s revenue in a report Microsoft Beats Wall Street With $81.3B Revenue on AI Growth.
Investment banks estimate that large technology companies could issue hundreds of billions of dollars in debt in 2026, significantly increasing their presence in global bond markets.
Investor Appetite Remains Strong
The success of Alphabet’s offering suggests that investor appetite for high-quality corporate debt remains resilient, even as supply increases. Demand for long-dated bonds has been supported by pension funds and insurers seeking predictable income in an environment where government bond yields remain volatile.
Still, some analysts cautioned that ultra-long bonds carry risks, including sensitivity to interest-rate changes over decades and uncertainty about long-term corporate strategies in a rapidly evolving technology landscape.
Despite those concerns, Alphabet’s bonds were expected to trade well in the secondary market, supported by the company’s strong credit ratings, large cash reserves and dominant market position.
Global Strategy
By issuing debt in multiple currencies, Alphabet is diversifying its investor base while potentially lowering overall funding costs. Borrowing in Swiss francs and sterling allows the company to match funding sources with global operations and hedge currency exposure more efficiently.
The move also reflects a broader trend among multinational corporations seeking flexibility in capital markets as they navigate geopolitical uncertainty, regulatory changes and shifting economic conditions.
As Alphabet completes pricing on its latest bond tranches, investors and market participants will be watching closely to see how the historic issuance influences broader corporate borrowing trends — and whether other technology companies follow suit with similarly ambitious debt strategies.