Debt investors are worried that the biggest tech companies will keep borrowing until it hurts in the battle to develop the most powerful artificial intelligence. Contracts tied to about $895 million of Alphabet debt are outstanding, after netting out opposite trades, while around $687 million is tied to Meta debt. With AI investments expected to cost more than $3 trillion, much of which will be funded with debt, hedging demand can only grow, according to investors. Some of the richest tech companies are rapidly turning into some of the most indebted. Alphabet said its capital expenditures will reach as much as $185 billion this year to finance its AI build-out.

Source: Economic Times February 16, 2026 06:54 UTC