Berkshire Deepens Alphabet Bet, Targets AI Data-Center Power Demand

Berkshire Hathaway is gaining exposure to artificial intelligence through both its equity portfolio and its utility operations. Chairman Warren Buffett initiated the Alphabet investment in 2025, and CEO Greg Abel later expanded it, marking a notable move for a conglomerate long associated with value investing and traditional industries. The strategy also reflects a broader constraint on AI growth: hyperscale data centers require vast amounts of reliable electricity, creating opportunities for Berkshire Hathaway Energy.

Abel told CNBC on Sept. 2 that Alphabet is a significant AI player. Berkshire announced an additional $10 billion investment on June 1 at a 6.5% discount to Alphabet’s market price. By June 30, it held nearly 106 million shares worth about $37.8 billion, making Alphabet its third-largest common-stock holding. Abel also said data centers accounted for about 8% of Berkshire Hathaway Energy’s load in Iowa in 2025, underscoring the scale of the emerging power opportunity.