BlockBeats News, June 10th - Morgan Stanley's latest forecast shows that the global AI-related bond issuance is expected to reach nearly $570 billion by 2026, more than double the amount from last year. By the end of May, around $236 billion in AI-related debt financing had been issued globally, about four times the amount from the same period last year. With the capital expenditure of hyperscale cloud providers expected to surpass $1 trillion in 2027, Morgan Stanley predicts that the bond issuance pace will further accelerate in the second half of this year. To broaden their financing channels, tech giants such as Alphabet and Amazon have issued a large number of Eurobonds, extending their financing currency from the US dollar market. Semiconductor companies are increasingly opting for short-term financing with installment repayment structures.

The fundamental reason for the surge in AI debt is that the capital expenditure of tech giants has far exceeded their profit coverage. According to Bank of America data, Amazon, Alphabet, Meta, Microsoft, and Oracle collectively issued $121 billion in US corporate bonds in 2025, far exceeding the average annual level of $28 billion from 2020 to 2024. UBS estimates that the capital expenditure of hyperscale cloud companies in 2026 is expected to consume nearly 100% of operating cash flow, compared to a ten-year average of only about 40%; debt financing precisely fills this gap. In addition to bond issuance, equity financing is also entering the arena rapidly—Google recently completed a total of $84.75 billion in equity capital financing. Barclays predicts that the likelihood of Meta, Microsoft, and Amazon issuing equity, mandatory convertible bonds, or equity-linked securities in the future will significantly increase.