Warren Buffett, the legendary investor known for his aversion to high-flying tech stocks, has made a surprising move in what could be one of his final major portfolio adjustments. Berkshire Hathaway Inc. disclosed a new $4.3 billion stake in Alphabet Inc., the parent company of Google, marking a significant bet on the search giant’s artificial intelligence ambitions. This investment comes as Berkshire further reduced its holdings in Apple Inc., a longtime favorite that has been steadily trimmed over recent quarters.

The disclosure, made in a regulatory filing with the U.S. Securities and Exchange Commission on November 14, 2025, revealed that Berkshire acquired 17.85 million shares of Alphabet as of September 30, 2025. This positions Alphabet as Berkshire’s 10th-largest equity holding, according to CNBC. The move is particularly noteworthy as it occurs in Buffett’s final weeks as CEO, with his 60-year tenure set to end soon.

Shifting Tech Allegiances

Buffett has historically shied away from technology investments, famously regretting missing out on Google in its early days. In a recent reflection reported by Forbes, Buffett admitted his ’10-per-click regret’ over not investing in Google sooner, citing the success of Berkshire’s insurance arm GEICO with Google’s advertising model. This new stake appears to rectify that oversight, especially as Alphabet ramps up its AI initiatives.

Alphabet’s dominance in search, cloud computing, and now AI positions it as a key player in the ongoing tech boom. Posts on X, formerly Twitter, highlight sentiment around this shift, with users noting Berkshire’s hoarding of cash in recent months before this bold investment. For instance, one post emphasized that Berkshire’s largest new bet in 2025 is on Alphabet, amid a market buying frenzy.

Alphabet’s AI Momentum

The investment aligns with Alphabet’s aggressive push into AI. Google has invested heavily in projects like Gemini AI models and Waymo autonomous driving, as well as a $40 billion data center expansion in Texas. According to Fortune, despite fears of an AI bubble, Berkshire loaded up on 17.8 million shares during the third quarter, signaling confidence in Alphabet’s hyperscaler status amid a huge stock rally.

Analysts point to Alphabet’s valuation as a draw. Trading at a cheaper price-to-earnings ratio than the S&P 500 and the lowest among the ‘Magnificent Seven’ tech giants, Alphabet offers dominant franchises in search, YouTube, and cloud computing, plus significant AI upside, as noted in various X posts and reports from Reuters.

Trimming the Apple Orchard

Conversely, Berkshire continued to pare back its Apple stake, reducing it by about 15% in the third quarter, following larger cuts in previous periods. Once Berkshire’s largest holding, Apple’s position has been whittled down from a peak of over $170 billion to around $70 billion, based on recent filings. This move comes despite Buffett’s past praise for Apple, calling it one of the best businesses in the world.

The trimming coincides with broader portfolio adjustments. Berkshire has been a net seller of stocks for ten consecutive quarters, exiting positions in companies like T-Mobile and trimming others such as Bank of America and Chevron, as detailed in X posts from investors like Chamath Palihapitiya. Yahoo Finance reports that this is part of a strategy amid record cash holdings of nearly $300 billion.

Succession and Strategy Overhaul

As Buffett prepares to step down, with successor Greg Abel poised to take over, the Alphabet investment may signal a subtle shift toward more tech exposure. Berkshire’s equity exposure is at three-year lows, and this move into Alphabet—known for moonshot opportunities like Waymo and AI infrastructure—suggests a pivot from traditional value plays to growth-oriented tech, per analysis in Financial Times.

X users have speculated on this transition, with one post noting Berkshire’s bet on Alphabet’s AI future as a departure from Buffett’s old guard approach. The conglomerate’s history with tech is mixed; Buffett famously avoided most tech until investing in Apple in 2016, which became a massive winner before the recent sales.

Market Reactions and Valuations

Market reaction to the filing was swift. Alphabet shares rose modestly in after-hours trading, reflecting investor approval of Buffett’s endorsement. Meanwhile, Apple’s stock has faced pressure amid concerns over its AI strategy, with X posts highlighting Apple’s $204 billion in buybacks for 2024 and 2025 compared to rivals’ massive AI investments, such as Meta’s $70 billion and Google’s $85 billion in 2025.

Business Insider notes that despite Buffett’s tech aversion, this investment underscores Alphabet’s appeal even to value investors. Berkshire’s stake values Alphabet at a premium but still below peers, with potential for growth in AI-driven revenue streams.

Broader Implications for Tech Investing

This portfolio shift occurs against a backdrop of booming AI interest. Alphabet’s ownership of stakes in ventures like Anthropic (14%) and SpaceX (8%), along with acquisitions like YouTube and Android, positions it as the ‘Berkshire of tech,’ as one X post described. Berkshire’s move may encourage other value investors to reconsider AI plays.

However, risks remain. AI bubble fears persist, and regulatory scrutiny on Big Tech could impact Alphabet. Investing.com highlights that while Berkshire trimmed Apple, it remains the top holding at $84 billion after Q2 cuts, per X updates from analysts like Dan Ives.

Buffett’s Lasting Legacy in Flux

As Buffett’s era winds down, this investment could be seen as a bridge to the future under Abel. Berkshire’s cash pile suggests more moves ahead, potentially in tech or other sectors. X sentiment reflects excitement, with posts calling it Buffett’s ‘Google secret’ revealed in his final weeks, as per The Times of India.

The pivot also raises questions about Apple’s trajectory. With slowing iPhone sales and competition in AI, Berkshire’s reduced stake may signal caution. Yet, Buffett has reaffirmed Apple as a core holding unless capital allocation changes dramatically, according to X posts from The Kobeissi Letter.

Investor Sentiment and Future Outlook

Industry insiders view this as a calculated endorsement of Alphabet’s AI edge. One X post from an investor noted that Berkshire’s bet signals confidence in cash-flow discipline at scale, pivoting from Apple’s device moats to Alphabet’s cloud and search dominance.

Looking ahead, Berkshire’s strategy under new leadership will be closely watched. With $4.3 billion in Alphabet and ongoing Apple adjustments, the conglomerate is balancing tradition with tech’s allure, potentially setting the stage for a new chapter in value investing.