Alphabet to issue $80 billion in equity for AI infrastructure, sparking concerns about Big Tech's capital spending.

Alphabet announced it will issue $80 billion of equity, including $10 billion of stock to Berkshire Hathaway at a discount, to fund its AI infrastructure buildout.

The move signals that "the AI arms race is moving into a more capital-hungry phase," according to Hargreaves Lansdown analyst Matt Britzman, though the $80 billion figure represents less than 2% of Alphabet's $4.6 trillion market capitalization.

The announcement revived investor concerns about hyperscalers' (large cloud computing companies) planned spending on artificial-intelligence infrastructure.