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Buffett’s Big Tech Bet: A $4 Billion Stake in Google
In a surprising move, Warren Buffett’s Berkshire Hathaway has taken a major position in Alphabet, the parent company of Google. According to regulatory filings, Berkshire now owns around 17.8 million Alphabet shares, valued at roughly $4.3 billion as of September 30, 2025.
Some reports even put the value closer to $4.9 billion, depending on share prices at quarter-end.
Why This Is Notable
1. A Shift for Buffett
Buffett is not usually associated with big tech. His traditional investing style is rooted in value investing — favouring companies with predictable cash flows, strong moats, and business models he deeply understands (like insurance, consumer goods, finance).
This makes a large bet on Alphabet particularly significant. While Berkshire has had tech exposure (e.g., Apple), Google represents a different kind of tech business — more scalable, more exposed to the cloud, advertising, and AI.
2. Regret and Opportunity
It’s not the first time Buffett has publicly regretted passing on Google. In earlier comments, he noted that Google’s advertising business offered “fantastic margins,” especially when GEICO (Berkshire’s insurance arm) was paying Google per click.
Now, Berkshire is acting on that regret — putting skin in the game when it sees long-term value.
3. Strategic Timing
• Berkshire has been stockpiling cash. At the end of the quarter, its cash reserves were at record levels.
• Meanwhile, the tech landscape is changing fast. Alphabet is deeply engaged in AI, cloud infrastructure, and other high-growth areas. Buffett (or his investment team) may believe Google is well-positioned for the next decade.
• The investment comes just as Buffett is nearing the end of his 60-year run as CEO of Berkshire.  Some analysts see it as a baton-passing moment — perhaps signaling the direction Berkshire’s next generation of leadership (like Greg Abel) might lean toward.
4. Rebalancing Away from Apple
Alongside the Alphabet purchase, Berkshire is reducing its Apple holdings. In the same quarter, it cut its Apple stake to 238.2 million shares, down from 280 million.
This suggests a deliberate rebalancing: moving some capital from a mature consumer-tech behemoth into a more diversified, scalable tech play.
Risks and Considerations
• Tech Volatility: Alphabet is exposed to macro risks, regulatory pressure, and the cyclicality of ad spending.
• AI Competition: While Google is a major AI player, it competes with other big tech firms. Returns depend on continued innovation.
• Valuation Risk: Betting big means the entry price matters. If Alphabet’s growth slows, the investment could be pressured.
• Who’s Steering: It’s not 100% clear whether Buffett personally made this call, or whether long-time lieutenants (Todd Combs, Ted Weschler) or even his successor had a bigger role.
Why It Matters to Investors
• Confidence Signal: For many investors, a Buffett-led move still carries weight. A multi-billion-dollar purchase can be seen as a strong vote of confidence in Alphabet.
• Portfolio Diversification: This adds a heavyweight tech name to Berkshire’s top holdings — boosting growth exposure.
• Long-Term Play: This isn’t likely a short-term trade. It aligns with Buffett-style, long-horizon investment, betting on Google’s future in cloud, AI, and core advertising.
Final Thoughts
Warren Buffett’s ~$4 billion-plus investment into Google’s parent company isn’t just another tech bet — it’s a meaningful pivot. It reflects both a recognition of Alphabet’s long-term potential and perhaps a change in how Berkshire’s new-generation leadership views technology.
For Buffett, it could be both redemption (for missing Google earlier) and a forward-looking bet on AI and scalable platforms. For the wider investment world, it’s a powerful endorsement — and a reminder that even the most value-oriented investors are not immune to the lure of transformational tech.
Attached is a news article regarding warren buffet investing 4 billion in goggle
Article written and configured by Christopher Stanley
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