Fri Jan 02 11:10:00 UTC 2026: ## News Article: Buffett’s Berkshire Hathaway Sells Apple Amid AI Boom, Bets on Google

OMAHA, NE – While Wall Street dives headfirst into the artificial intelligence (AI) revolution, Warren Buffett’s Berkshire Hathaway has taken a contrarian approach, significantly reducing its stake in Apple while making a notable investment in Alphabet (Google).

For years, Apple has been a cornerstone of Berkshire’s portfolio, a testament to Buffett’s appreciation for strong consumer brands and consistent cash flow. However, since the end of 2023, Berkshire has slashed its Apple holdings by approximately 73%, as the broader market and Apple stock surged.

Analysts speculate Buffett’s decision isn’t necessarily a rebuke of Apple’s AI strategy, but rather a strategic move to capitalize on an overheated market. With both the S&P 500 and Apple shares experiencing an extraordinary 60% rally since October 2023, Berkshire appears to be taking profits and seeking more stable returns in Treasury bills.

Meanwhile, Berkshire, along with other prominent investors like Stanley Druckenmiller and Ken Griffin, have been quietly accumulating shares of Alphabet. Despite initial concerns about the impact of AI-powered language models on traditional search, Alphabet has been steadily building its own AI infrastructure.

The company has integrated its Gemini LLM into key products, developed custom Tensor Processing Units (TPUs) for its cloud platform, and recently announced a $4.7 billion acquisition of Intersect, a clean energy provider for data centers. This vertical integration positions Alphabet as a potential leader in the AI landscape, offering a compelling long-term investment opportunity for patient investors like Berkshire Hathaway.

While Alphabet’s current forward price-to-earnings (P/E) multiple of 29 may not represent a bargain, analysts believe the company’s strategic positioning in AI justifies the investment and forecasts significant valuation expansion in the coming years.

This shift in Berkshire’s portfolio signals a nuanced view of the AI revolution, with the company opting for strategic asset allocation and long-term bets over blindly chasing the latest tech hype.

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