Major U.S. tech companies, including Alphabet, Meta, and Amazon, are increasingly turning to debt financing to fund their ambitious AI projects. In March, Amazon issued €14.5 billion in bonds in Europe, marking the largest corporate bond issuance in euro history, alongside $37 billion in the U.S. Meta followed suit with a $25 billion bond issuance in April to support its AI initiatives. Collectively, these companies plan to spend approximately $650 billion this year on AI infrastructure, including data centers and networking equipment. This shift towards debt financing represents a significant change in strategy for tech giants traditionally reliant on strong revenues and stock performance. The move is driven by the urgent need to build AI capabilities, with companies like Alphabet allocating substantial portions of their budgets to data centers and servers. Despite the high interest rates, the rapid pace and scale of borrowing underscore the intense competition in the AI sector, with analysts predicting that AI-related debt could account for over 20% of the investment-grade bond market by 2030.