Alphabet’s drone unit to invest up to $125M in new manufacturing facility

Alphabet (GOOGL) will invest $17B in a Wyoming data center. Its credit-default-swap spread hit a record, with risks from higher borrowing costs. The company launched Gemini Omni 1.2 Flash for video generation. It holds Qualcomm and SpaceX shares. AI search summaries face criticism for reduced publisher clicks. Google's emissions rose due to data center expansion. The company sold stakes in GitLab, Spero, and Autolus.

Alphabet acquired a $548M stake in Qualcomm, signaling confidence in its expansion into AI data centers. Qualcomm aims to diversify from smartphones, targeting $15B in data center chip revenue by 2029, with backing from Amazon, Microsoft, and Meta. Alphabet also increased its SpaceX stake to 555M shares.

Google plans a $17 billion data center in Wyoming, powered by a 702 MW fuel-cell system from Bloom Energy and owned by American Electric Power (AEP), with carbon capture. The project includes natural-gas generators from Tallgrass Energy and Black Hills Energy, totaling 2.7 GW. Google will pay for infrastructure and property taxes, creating 2,500 construction jobs and 250 permanent roles.

Alphabet (GOOGL) acquired Crusoe's Wyoming data center site, investing $17B. Google aims to control AI capacity directly, avoiding risks of renting. Microsoft (MSFT) is also shifting strategy, reducing third-party leases. Both companies are investing heavily in owned infrastructure.

Google, Meta, and TikTok sued California in federal court to block a children's online safety bill set to take effect in 2027, arguing it violates free speech and federal law. The bill, signed by Gov. Newsom, aims to protect children under 16 from addictive social media features and AI chatbots. The companies seek an injunction, citing First Amendment and Section 230 concerns. Meta recently agreed to a $18B settlement over children's privacy but denies wrongdoing.

Berkshire Hathaway's investment in Alphabet (GOOGL) has declined over 24% since June, resulting in a $3 billion paper loss. CEO Greg Abel also invested in Italian tech group Bending Spoons. Analysts are divided on the timing and strategy. Berkshire reports Q3 results Saturday, with focus on insurance, retail, and share buybacks. Berkshire's stock hit a record high, up 16% in a month, with $365.5 billion in cash.