Alphabet considers first yen bond sale to fund AI goals

Alphabet disclosed in a May 11 filing that it plans its first-ever Japanese yen bond issuance, expected to total several hundred billion yen with terms to be set this month. The company has mandated Mizuho, Bank of America and Morgan Stanley on the deal. The move is part of a broader trend of Big Tech tapping debt markets to finance costly AI infrastructure — firms are forecast to spend $700bn+ on AI this year versus $410bn in 2025 — and follows Alphabet’s recent nearly $17bn in bond sales. The issuance could boost demand for yen-denominated credit and influence yen funding and corporate bond market dynamics; Amazon is also reported to be preparing a Swiss franc bond programme. Market impact centers on cross-currency funding flows and corporate borrowing costs rather than an immediate directional signal for USD/JPY.