Amazon, Alphabet, Meta, Microsoft, and Oracle collectively issued approximately $121 billion in new corporate bonds in 2025 to fund AI infrastructure, more than four times their historical annual average of $28 billion. The combined debt of these five hyperscalers has doubled over five years to reach $350 billion, with $90 billion issued in the fourth quarter alone. AI-related debt now accounts for roughly 30% of new issuance in the US investment-grade bond market. While delinquency rates remained low by late 2025, the systemic risk lies in the fact that the entire investment-grade market has become a leveraged bet on AI infrastructure paying off within a specific timeframe.
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