Tech’s $90B AI Bond Flood Strains Markets 11/24/25
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Tech’s $90B AI Bond Flood Strains Markets 11/24/25
Key Stories:
- We’re seeing a massive influx of new bonds hitting Wall Street, largely driven by tech giants funding their ambitious artificial intelligence initiatives. Since the beginning of September, major AI hyperscalers like Amazon, the e-commerce and cloud computing leader, Alphabet, parent company of Google, Meta Platforms, owner of Facebook and Instagram, and enterprise software giant Oracle, have collectively issued nearly $90 billion in investment-grade bonds. This amount is quite significant, actually surpassing their total bond sales from the previous 40 months combined. Adding to this trend, AI data-center developers, including TeraWulf and Cipher Mining, both of which began as bitcoin miners, have also entered the speculative-grade market, issuing over $7 billion in lower-rated bonds. This sudden flood of debt is clearly straining the market’s capacity to absorb it, adding notable pressure across the broader bond landscape. Investors should watch how this increased supply impacts bond yields and the overall cost of capital for these companies going forward. Read more
Keywords: AI bonds, AMZN, CIFR, GOOGL, META, ORCL, WULF, artificial intelligence, bond market, corporate bonds, data centers, investment-grade bonds, speculative-grade bonds, tech sector