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Alphabet plans to raise $80 billion through stock sales to finance its artificial intelligence infrastructure expansion, with Berkshire Hathaway contributing $10 billion through a private placement.

In a statement, the company described the intended use of proceeds as "general corporate purposes, including capital expenditures to scale AI infrastructure and global compute." Alphabet also noted that demand for its AI offerings from both business and consumer customers has grown to a point that outstrips what the company can currently deliver.

Beyond the Berkshire private placement, the raise breaks into two additional components, according to CNBC. Of the remaining $70 billion, $30 billion is slated for underwritten offerings β€” half of that in depositary shares tied to mandatory convertible preferred stock β€” while a separate at-the-market program covering Class A and Class C shares is set to generate the final $40 billion, with that effort anticipated to launch sometime in the third quarter.

The SEC filing identifies Goldman Sachs as the placement agent for the Berkshire transaction, while Goldman, JPMorgan Chase, and Morgan Stanley are jointly managing the underwritten portion of the raise.

According to CNBC, Berkshire began accumulating shares in Alphabet starting in the third quarter of last year, and the holding had grown to roughly $20 billion in value by the time Monday's deal was revealed.

The fundraising adds to a series of capital market moves Alphabet has made this year to finance its AI ambitions. Earlier this year, according to CNBC, Alphabet tapped debt markets for over $30 billion through a global bond offering in February and separately pulled in around $11 billion from European investors in sterling- and Swiss franc-denominated instruments β€” transactions that themselves came on the heels of a $25 billion bond deal last November.

The company's updated capex guidance calls for spending of $180 billion to $190 billion this year, a step up from the prior range of $175 billion to $185 billion. Compute capacity is what CEO Sundar Pichai identified as his primary concern when pressed on the biggest challenge facing the company, asking, according to CNBC, "Be it power, land, supply chain constraints, how do you ramp up to meet this extraordinary demand for this moment?"

Alphabet stock slipped in extended trading Monday following the announcement, according to Bloomberg.