Microsoft Seeks to Raise $25 Billion in Bond Sale

Microsoft hopes to raise as much as $25 billion in a bond sale as it looks for new methods to finance its ongoing spending on AI, according to someone with knowledge of the plans.

The debt offering reflects how data center operators are seeking new methods to fund their massive capital expenditures on AI. Microsoft is the second major cloud provider to raise debt to fund its ongoing data center buildout this year after Google, which raised $25 billion in debt in August following an $84 billion equity raise in June.

“We feel like we have lots of options to be able to tap the financing markets when they make sense and they’re attractive,” Microsoft Chief Financial Officer Amy Hood said during the company’s earnings call Wednesday.