Global search engine giant Google’s parent company, Alphabet, is raising funds by selling a rare 100-year bond in the technology industry in an effort to fund the big tech giant’s artificial intelligence (AI) expansion plans, reported the news agency Reuters on Tuesday, 10 February 2026.
On Tuesday, the company reportedly said that it had sold bonds worth $20 billion via a seven-tranch offering. According to the agency report, this move shows that increasing appetite for debt in the tech sector after years of backing from cash flows.
Citing International Financing Review, the agency report highlighted that Alphabet is selling $7.53 billion worth of sterling bonds in a five-part deal, including a rare 100-year tranche. However, the company did not respond to the agency’s query sent on the sterling bond sale.
Are 100-year bonds rare?
Alphabet’s sale of 100-year bonds is a rare offering, as the sale of such long-term bonds died down after 2022, post the central banks raised the interest rates soon after the global COVID-19 pandemic aftermath.
Sales of these ultra-long-term bonds rose during the period of ultra-low interest rates that followed the great financial crisis of 2008, according to the agency report.
“Today it comes with a 100-year debt issuance out of Google… That’s representative and indicative of a lot of the capital spending, a lot of the investment that’s going through in markets and technology,” Jason Granet, chief investment officer at BNY, told the news agency.
The expert also highlighted that this is an extraordinary time period which comes against the backdrop of change in technology.
Tech capex
According to the agency report, capital expenditure (capex) of big tech companies like Alphabet, Microsoft, Amazon and Meta Platforms is expected to be at least $630 billion this year as the companies focus their spending on AI chips and building data centres.
The big tech company’s pivot to raise funds from the bond market comes as investors raised concerns over payoffs not keeping in line with the massive spending on artificial intelligence (AI). The news report highlighted that the businesses adopting the technology have so far seen limited productivity gains.
“Century bonds are usually the preserve of governments or regulated utilities with very predictable cash flows, so this deal shows that, at least for now, investors are willing to take on very long-dated risk tied to AI investment,” Lale Akoner, global market analyst at eToro told the news agency.
The news report also mentioned that the seven tranches of Alphabet’s dollar bonds will mature after every few years starting from the year 2029 and range all the way till 2066, as per the regulatory filing.
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