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AI tech companies have ‘hidden debt’ worth around $1.65 trillion, report claims — amount is 122% of debt reflected on the balance sheets of Alphabet, Amazon, Meta, Microsoft, and Oracle

Latest from Tom's Hardware ·Jowi Morales·about 2 months ago
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(Image credit: Getty) Five U.S. tech giants heavily invested in AI and its related infrastructure reportedly have an estimated $1.65 trillion in hidden debt, with the figures annotated in their quarterly financial statements instead of being listed in their balance sheets. According to Nikkei Asia , this is higher than the $1.35 trillion officially listed, meaning investors could be caught unaware once the hidden figures come to light. Go deeper with TH Premium: AI and data centers The publication says that Meta has a high off-balance-sheet-to-recorded-debt ratio, with the company owing $420 billion in unlisted debts compared to the $140 billion written on the balance sheet. Oracle purportedly also has a massive $273.3 billion of hidden debt, which is a 2,900% jump from the hidden debt it had from 2022. This may sound strange, but it’s actually an accepted accounting practice.…

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