Investor demand for Microsoft’s current fundraising effort reached $115B, making it the sixth largest orderbook for an investment-grade bond sale in history. The company is seeking to raise at least $25B through a 10-part U.S. dollar offering, the first time the software giant has issued domestic high-grade debt since January 2017.
The notes include maturities ranging from 2 to 40 years, with proceeds slated for general corporate purposes and capital expenditures. The move reflects a surge in AI infrastructure costs; Microsoft recently reported $45.2B in quarterly AI spending and projects that AI-related capex and leases could reach roughly $170B by 2027. Other tech rivals including Alphabet, Amazon and Meta have similarly turned to debt and equity markets to fund their data center expansions this year.