Acquiring Google
On November 14th, Berkshire Hathaway bought a $5.1 BILLION stake in Google (Alphabet).
Why it matters:
Thirteen days before the filing, Google launched Ironwood, a chip that does what Nvidia GPUs do… at 1/5 the cost. Six days later, Google released Gemini 3, the most advanced AI model on Earth, trained without a single Nvidia chip.
The math that changes everything:
Every AI company except Google pays $3–4B to train frontier models.Google pays just $600–750M with Ironwood TPUs.
OpenAI, Microsoft, Anthropic, Meta … all paying 400% more for the same computational power.Google owns the factory. Everyone else rents it. Nvidia built a $3.5 TRILLION empire. That monopoly is over. Anthropic already ordered 1M Google TPUs. OpenAI rumors are circulating.
The migration has started.
Buffett’s signal:
The man who said he “missed Google” in 2004 just bought it in 2025.Alphabet now controls the cheapest supercomputer infrastructure on Earth.Buffett doesn’t buy potential. He buys inevitability.The takeaway:If Google Cloud grows >45%, Nvidia’s pricing power collapses.
TPU costs 75–80% below GPU equivalents → AI labs will switch fast.
Gemini keeps improving → model wars might already be over.
Fact: Whoever owns the chips owns the future. Google owns the chips. Buffett owns Google. And people are still glued to Nvidia drama!
Sincerely,
Pele23
Posted Using INLEO
Nice thesis. 😅
I think it is a smart move to expand into Alphabet.
It will be interesting to see Google have a lead on the AI front after being the leader on search.