Microsoft plans to raise $25 billion in debt as it pursues AI buildout

The official logo signage is pictured on the exterior facade of a Microsoft Corporation office building in Lehi, Utah, United States, on August 26, 2026.Charles-McClintock Wilson | Nurphoto | Getty ImagesMicrosoft on Thursday announced plans to raise $25 billion in bonds, taking advantage of its healthy credit rating to support its infrastructure expansion. The software maker holds a top-tier AAA rating with S&P, a credit agency. Management is targeting $170 billion in 2026 capital expenditures, as the company looks to meet heavy demand from artificial intelligence labs Anthropic and OpenAI, as well as other clients."Microsoft intends to use the net proceeds from the offering for general corporate purposes, which may include, among other things, funding for working capital, capital expenditures, repurchases of capital stock, acquisitions, and repayment of existing debt," according to a statement. The offerings should close on Nov. 4, the company said. Amazon and Alphabet have engaged the bond market to support infrastructure projects this year, and AI-focused cloud CoreWeave has also relied on the debt market to broaden its data center footprint. Investors have turned more skit...