“I initiated it,” Buffett told CNBC, marking his first public explanation of how Berkshire came to build one of its largest technology holdings in the Google parent.
Buffett clarified that while Abel has taken over as chief executive, the two remain closely aligned on investment decisions.
“I am not doing anything that he doesn’t approve of. He’s not doing anything I don’t approve of. We talk all the time, but he is the decider,” Buffett said.
Berkshire first disclosed its stake in Alphabet in the third quarter of 2025 and has since increased its position. Earlier this year, the conglomerate also participated in Alphabet’s $10 billion private placement to support the company’s artificial intelligence infrastructure expansion.
Buffett announced his retirement plans in May last year and officially handed over the CEO role to Abel at the beginning of this year.
Explaining his investment philosophy, Buffett said the key is identifying companies capable of generating strong returns on capital over long periods.
“The trick in life — I mean investing — is to find businesses that are going to earn high returns on capital for an extended period of time,” he said.
The veteran investor has previously admitted he “blew it” by not investing in Google earlier, despite recognising the strength of its advertising business through Geico, one of Google’s early customers. While Buffett understood the economics of the business, he had earlier questioned whether Google would maintain its leadership in the rapidly evolving technology industry.
Buffett on Apple
Buffett, 95, said that despite Apple being Berkshire’s largest equity holding, it is not among his most-loved businesses within the conglomerate.
“I would say that I don’t like it as well as at least four or five other businesses that we own,” he said.
He also highlighted the massive spending required to stay competitive in artificial intelligence, saying Alphabet and its rivals are committing unprecedented amounts of capital.
“The real question with Google and all of its competitors now, because they’re all laying out hundreds of billions, and that’s real money,” Buffett said. “That’s the game they’re playing now. They weren’t playing that game with computer software.”
Despite the upcoming leadership transition at Apple, Buffett reaffirmed his confidence in the iPhone maker following news that Tim Cook will step down as CEO.
“I know more about Apple than I knew many years ago,” Buffett said. “If you’re Apple, you’ve got very, very smart people all over the world trying to figure out how to make sure that Apple’s future is as bright as its past.”
