Dmytro Kharkov

Alphabet generates $160 billion in cash flow but turns to equity for AI, Deirdre Bosa notes

Alphabet generates $160 billion in cash flow but turns to equity for AI, Deirdre Bosa notes
Alphabet equity raised for AI compute

Deirdre Bosa highlights that Alphabet generated over $160 billion in operating cash flow last year but is still issuing more than $40 billion in equity to support artificial intelligence compute investments, including a private placement to Berkshire.

Bosa points out that one of the largest cash generators in technology is choosing to dilute its equity base to keep up with the demands of AI development.

Bosa previously noted that Anthropic will pay $1.25 billion per month through May 2029 for compute capacity on xAI's Colossus data centers, amounting to $45 billion in total commitments. In a separate report, she indicated that Musk’s loss to Altman could reduce legal distractions and potentially clear the way for a SpaceX IPO. The recent activity comes amid heightened competition and capital outlays across the sector.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.
Weekly Top Bonuses
up to $2,500
deposit bonus for all clients
CLAIM BONUS
Your capital is at risk.