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A new report by Nikkei Asia has revealed that all five tech giants, including Microsoft, Alphabet, Amazon, Meta, and Oracle, have together taken on about $1.65 trillion in hidden, off-balance-sheet debt. The report says this ‘invisible debt’ figure is even higher than their combined official liabilities.
In the last few years, the demand for high-end GPUs and massive data center infrastructure has increased. Thus, the hidden $1.65 trillion stems from future payment obligations like long-term operating leases for data centers that are yet to be built, bulk GPU supply contracts, and joint ventures. At this point, these tech giants are not required to record these as liabilities on their balance sheets. These will count after the assets are delivered or the facilities go live.
The two companies with the most hidden debts are Meta and Oracle. While the former’s off-balance-sheet debt has reached an estimated $420 billion, which is three times more than its official debts, the latter has reached around $273.3 billion. For the remaining three companies, the off-balance-sheet debt is collectively around $1.45 trillion for cloud services and other business commitments as of March, 2026.
The term ‘Off-Book’ spending may sound new to readers, but the meaning is simple. It indicates that a company has agreed to pay money in the future, though the amount won’t be listed in their regular debt sheet.
A simple example can be long-term rentals, where users agree to pay the amount over several years. Big Tech companies are doing something similar; they are signing long-term deals for data centers, AI chips, and cloud services. These agreements help them lock in important resources before demand rises even more.
Also Read: Countries Leading the Global AI Race in 2026
These future payments could become a challenge if the AI market slows down. Companies will still have to pay for the contracts they have already signed, even if their AI business does not grow as expected.
This is why many reputed agencies, including Morgan Stanley and Moody's, have warned against these rising debt commitments. AI is creating new opportunities, but it is also pushing companies to make very large financial commitments. How well they handle those commitments could shape their future growth.
