Alphabet shares jumped after Berkshire Hathaway revealed a new $4.9 billion stake, a move that immediately caught Wall Street’s attention. Berkshire rarely makes large bets on tech companies, especially after trimming major holdings like Apple, making this stake a strong signal of long-term confidence. The investment includes roughly 17.85 million Alphabet shares, positioning the Google parent as one of Berkshire’s more meaningful new additions. The timing is notable as Alphabet pushes deeper into AI infrastructure, cloud computing expansion, and autonomous driving initiatives through Waymo.

The positive reaction also reflects Alphabet’s valuation strength compared to other AI-driven tech giants. While many big tech names have surged to premium levels, Alphabet remains relatively balanced between strong revenue growth and disciplined spending. Berkshire’s decision to enter now suggests its team sees structural durability in Alphabet’s business model spanning search advertising, generative AI tools, cloud growth, and hardware. With Berkshire famous for patient, fundamentals-driven investing, this move adds a layer of credibility to Alphabet’s long-term outlook.