Major technology corporations are abandoning their traditional approach of using cash reserves, instead turning to bond markets to secure funding for massive artificial intelligence infrastructure projects, according to industry reports released March 10.
Investment in AI technology is set to skyrocket from $410 billion in 2025 to more than $600 billion by 2026, raising concerns about a potential AI investment bubble among market watchers.
Bridgewater Associates warned last month that the AI investment surge has moved into a “more dangerous phase,” characterized by exponentially increasing infrastructure investments and greater dependence on external financing.
Amazon leads the charge with plans to secure approximately $37 billion through an 11-part bond offering, specifically targeting AI infrastructure development. The retail giant’s bond sale generated remarkable investor interest, attracting roughly $126 billion in peak demand across U.S. markets. This follows Amazon’s November initiative to raise $15 billion in its first U.S. dollar bond sale in three years, which drew $80 billion in investor demand. Amazon currently maintains $105.03 billion in outstanding debt against $86.81 billion in cash reserves, with a $2.75 billion bond payment scheduled for May 12, 2026.
Cloud software company Salesforce is preparing to issue up to $25 billion in debt to support a significant share repurchase program, according to Bloomberg News reports citing industry sources. The company holds $8.50 billion in outstanding debt compared to $7.33 billion in cash, with its next major payment of $1.50 billion due April 11, 2028.
Oracle announced in February its intention to raise between $45 billion and $50 billion in 2026 through combined debt and equity offerings to expand cloud infrastructure capacity. The database company faces legal challenges from bondholders who filed suit in January, alleging Oracle failed to properly disclose its need for substantial additional debt to fund AI infrastructure development. Oracle, led by Chairman Larry Ellison, previously filed for approximately $18 billion in debt through a six-part offering in September 2025. The company carries $131.25 billion in outstanding debt while holding $38.46 billion in cash, with a $2.75 billion payment due March 25, 2026.
Google’s parent company Alphabet made headlines in February by issuing an unusual 100-year bond worth 1 billion pounds ($1.35 billion) as part of a comprehensive $31.51 billion global debt raising effort. The company sold 5.5 billion pounds in sterling bonds across five separate offerings. Previously, Alphabet filed in November to raise $17.50 billion in U.S. debt and 6.5 billion euros ($7.58 billion) in European markets for general corporate purposes, including existing debt payments. Alphabet maintains $80.21 billion in outstanding debt against $30.71 billion in cash, with a $2 billion payment scheduled for August 15, 2026.
Telecommunications provider Verizon filed in November to raise approximately $11 billion in corporate bonds to help finance its $20 billion acquisition of fiber-optic internet provider Frontier Communications, which completed in January. Verizon carries the highest debt load at $149.02 billion outstanding against $19.05 billion in cash reserves, with a $205.66 million payment due March 20, 2026.
Facebook owner Meta Platforms filed for its largest bond offering in company history last October, seeking up to $30 billion to fund expensive AI infrastructure expansion. Meta faces substantial cost pressures from AI investments, increasing its capital spending plans by 73% this year to deliver personalized AI services to its extensive social media user base. The company holds $59 billion in outstanding debt compared to $35.87 billion in cash, with a $2.66 billion payment scheduled for August 15, 2027.
