Google Shares Sink as AI Boom Forces Alphabet to Go Back on Strategy Critical to its Stock

Google stock fell after parent Alphabet (GOOGL) announced an $80 billion equity raise to fund artificial intelligence (AI) infrastructure. The move reverses years of buybacks that steadily shrunk its share count.

Shares slipped after the June 1 announcement, with GOOGL opening down roughly 3.5% on Tuesday. Investors weighed dilution against management’s bet that AI demand justifies the largest…