An article at NikkeiAsia claims that hidden debt at Alphabet, Microsoft, Amazon, Meta and Oracle has shot up to about $1.65 trillion this year, due to huge AI investments.
What's "hidden debt"? Under existing accounting rules, companies don't need to put certain kinds of debt on their balance sheets. It's enough for them to mention it in annotations to their quarterly financial statements. So you have to dig a bit to find it.
This includes money that tech companies borrow for servers and GPUs that haven't yet been delivered yet, and data centers that aren't yet operational. This kind of hidden debt is ballooning.
For more details, see
• Kohei Yamada, Five US tech giants' hidden debts soar to $1.65tn on opaque AI funding, NikkeiAsia, July 21, 2026. Archived at
https://archive.is/wlbqsA quote:
"Tech giants are already relying on issuing corporate bonds and new shares because their investment expenditures are exceeding their earnings. Their fundraising from institutional investors on top of that is leading to overheated capital investment.
In a March report, economists at the Bank for International Settlements referred to the mechanism of raising funds from institutional investors without increasing debt on their balance sheets as "shadow borrowing." They expressed concern about the risk of data center projects stalling and AI anxieties spreading throughout the market.
An executive at a Japanese auditing firm said concerns were growing that the tech companies' "actual financial burden is significantly larger than what can be seen on their balance sheets.""
