Berkshire Hathaway’s $4.9 Billion Alphabet Bet: Why Warren Buffett Wasn’t Behind the Move (2025 Update)

• Who Really Pulled the Trigger on Berkshire’s Alphabet Purchase?
• Why This Alphabet Bet Breaks Berkshire’s Mold
• Apple Trims & Bank Cuts: Reading Berkshire’s Portfolio Tea Leaves
• Buffett’s Thanksgiving Letter: Succession Hints & Dark Humor
• Berkshire’s Global Holdings: Japan’s Rising Star

In a surprising twist, Berkshire Hathaway scooped up 17.8 million Alphabet shares worth $4.9 billion in Q3 2025—but the mastermind wasn’t Warren Buffett. The tech giant’s stock jumped 3.5% post-market as investors scrambled to uncover who greenlit this uncharacteristic play. With Buffett historically avoiding tech (except Apple) and Alphabet surging 51.3% YTD, the move hints at Berkshire’s next-gen leadership flexing its muscles. Meanwhile, Berkshire trimmed its Apple stake by 15% ($10.6B) and Bank of America by 6.1% ($1.9B), signaling strategic shifts ahead of Greg Abel’s 2026 CEO takeover. Here’s the inside scoop on Berkshire’s portfolio shakeup.

Who Really Pulled the Trigger on Berkshire’s Alphabet Purchase?

The $4.9 billion Alphabet acquisition—Berkshire’s largest Q3 portfolio addition—defies Buffett’s infamous tech skepticism. At Berkshire’s 2019 meeting, Buffett admitted he and Charlie Munger "blew it" by not buying Alphabet earlier when shares traded at $59. Fast forward to 2025: Greg Abel, the incoming CEO who’s taken over many of Buffett’s duties, appears the likely architect. Unlike Buffett, Abel carries no baggage from past missed opportunities. Alternatively, investment managers Ted Weschler or Todd Combs—who’ve handled tech positions before—could be behind the move. TradingView data shows Alphabet’s 37% quarterly gain during Berkshire’s buying spree crushed Chubb’s $1.2 billion position growth.

Why This Alphabet Bet Breaks Berkshire’s Mold

Buffett has long viewed Apple as a consumer brand, not a tech stock—a lens he’s never applied to Alphabet. The Google parent’s ad-driven model clashes with Buffett’s preference for "toll bridge" businesses. Yet Berkshire’s filing reveals Alphabet became its top new holding by September 30, surpassing even Japanese trading houses like Itochu. This suggests either a radical Buffett pivot (unlikely at 95) or proof of Abel/Weschler/Combs asserting influence. Notably, the buy coincided with Alphabet’s AI breakthroughs in Q3, including Gemini Ultra’s launch—a factor Buffett traditionally wouldn’t weigh.

Apple Trims & Bank Cuts: Reading Berkshire’s Portfolio Tea Leaves

Berkshire slashed its Apple stake by 15% ($10.6B), marking a 74% reduction since 2023. Despite this, Apple remains Berkshire’s crown jewel at $64.9B (21% of its portfolio). The Bank of America cut (6.1%, $1.9B) continues a 43% drawdown since 2024. VeriSign shares also saw accelerated selling after August’s initial divestment notice. These moves align with Abel’s reputation for modernizing Berkshire’s holdings—though Buffett still jokes he "retires every Thanksgiving."

Buffett’s Thanksgiving Letter: Succession Hints & Dark Humor

Buffett’s 7-page Thanksgiving memo—double 2024’s length—mixed heartfelt reflections with classic wit. He confirmed Abel will handle 2026’s shareholder Q&A while he "sits with directors in the arena." The nonagenarian shared a bizarre childhood anecdote about fingerprinting nuns ("in case one turned criminal"), alongside serious notes: increased donations to his kids’ foundations (now holding 400K Class B shares each) and Abel’s CEO transition timeline. The letter’s blend of nostalgia and pragmatism mirrors Berkshire’s current balancing act between legacy and evolution.

Berkshire’s Global Holdings: Japan’s Rising Star

Beyond U.S. moves, Berkshire’s Japanese investments—Itochu, Mitsubishi, and others—now represent 9% of its portfolio per Q3 filings. Converted from yen, these positions gained 14% year-to-date despite Japan’s deflationary headwinds. Hong Kong-listed BYD also remains a key holding, though Buffett hasn’t adjusted its position since 2022. This global diversification, managed largely by Abel recently, showcases Berkshire’s widening aperture under new leadership.