U.S. tech giants issued $194 billion in debt this year, up 79% from 2025, pushing borrowing costs higher as investor demand wanes.
Amazon, Alphabet, Meta Platforms, and Oracle issued $194 billion in bonds from January to July, a 79% increase from $108 billion in all of 2025. The surge in debt supply reflects aggressive spending on artificial intelligence infrastructure, pressuring yields higher as investors grow more selective.
Borrowing spreads for these investment-grade firms have widened across maturities. The median spread on 2- to 4-year bonds rose to 40 basis points from 30 basis points in 2025, while 5- to 7-year debt spreads climbed to 60 basis points from 50 basis points. Longer-term bonds saw spreads jump to 118 basis points from 108.5 basis points.
Secondary-market performance has weakened, with 78 of 91 hyperscaler bonds issued in 2026 trading at higher yields than at issuance. The median increase was 22 basis points, signaling cooling demand for tech debt amid rising supply.