The tech giant shifts focus from stock repurchases to artificial intelligence investments after a decade-long buyback spree.
Alphabet has terminated its $346 billion share repurchase program, redirecting capital toward artificial intelligence initiatives. The buyback effort, spanning from 2016 to 2025, peaked at $62.222 billion in 2024 before tapering to $45.709 billion this year.
The company spent $3.693 billion in 2016, escalating annually to $61.504 billion in 2023. Analysts note buybacks have historically supported earnings per share growth, but AI investments may offer long-term revenue potential.
Alphabet’s pivot reflects broader industry trends, though historical data suggests mixed outcomes for companies shifting from buybacks to growth projects.