Warren Buffett resigns as head of Berkshire Hathaway(NYSE: BRK.A)(NYSE: BRK.B) at the end of 2025. But for now, no portfolio transaction takes place without his blessing. That’s what makes Berkshire’s recent trades so interesting. According to recent filings, Berkshire just acquired 17,846,142 shares of a popular artificial intelligence (AI) stock — a category Buffett has long avoided.
After the purchase, Berkshire owns $4.3 billion in the AI company, pushing it into its top 10 holdings by value. Why is Buffett suddenly going all in on artificial intelligence? There is more to this story than you might expect.
Historically, Buffett is not a big fan of tech stocks. But in recent years, tech stocks have been some of its biggest holdings.
Look at Berkshire’s top position right now: Apple. This position alone is currently worth more than $60 billion. But in the past, this holding was worth more than 200 billion dollars! A flurry of selling has significantly reduced the weight of the position, but Apple remains Berkshire’s biggest bet. Apple is not an independent AI company. But the company has spent billions of dollars on AI research and development, launching several new AI tools for customers in 2025 alone.
Nor is Apple the only Berkshire portfolio company involved in AI. As of the first quarter of 2019, Berkshire also holds a multibillion-dollar position in Amazon. Most people know Amazon as an e-commerce platform, but most of its operating profits are actually generated by its cloud infrastructure business, Amazon Web Services (AWS). As the world’s largest cloud provider, AWS is heavily used by AI companies to train and run complex AI models.
Here’s the catch. Buffett may not have been responsible for these purchases, although he obviously approved them. According to most reports, the Apple purchase — which quickly became Berkshire’s biggest bet in history — was actually initiated by two of Buffett’s lieutenants: Todd Combs and Ted Weschler. The pair were also allegedly responsible for Berkshire’s purchase of Amazon shares. “Yeah, I was a fan, and I was an idiot for not buying,” Buffett said after Combs and Weschler finally convinced him to buy Amazon stock.
There’s a good chance Combs and Weschler are also behind Berkshire’s latest acquisition: Alphabet(NASDAQ: GOOG)(NASDAQ: GOOGL)the parent company of Google.
Image source: Berkshire Hathaway.
According to the latest filings with the SEC, Berkshire now owns 17,846,142 shares of Alphabet, the parent company of Google. This position was never stated in previous filings, strongly suggesting that Berkshire bought all of its shares during the third quarter of 2025.
As with Berkshire’s Apple and Amazon positions, we don’t know who initiated this purchase. As a recent Reuters report concluded: “It’s not clear whether Buffett, his portfolio managers Todd Combs and Ted Weschler or CEO-designate Greg Abel are making any purchases, although Buffett normally makes larger investments.”
I bet Buffett was at least partially involved. In the past, he and former partner Charlie Munger have complained about not buying Alphabet stock sooner. “We messed up,” Munger once revealed. “He says we screwed up,” Buffett added.
While Google still makes most of its money from its search engine and advertising businesses, the company is also a major player in the cloud computing industry. Most estimates place it as the third largest cloud provider in the world, with a 10% to 15% market share. Like Amazon’s AWS division, Alphabet’s cloud business is heavily used by developers and AI applications.
With this acquisition, Berkshire now owns three companies with direct ties to AI. Buffett — or, more likely, his investment partners at Berkshire — appears to be increasingly optimistic about the potential of AI.
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Ryan Vanzo has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Amazon, Apple and Berkshire Hathaway. The Motley Fool has a disclosure policy.
Warren Buffett Bets Big on Artificial Intelligence — Just Bought 17,846,142 Shares of This Legendary Tech Stock was originally published by The Motley Fool
