Morgan Stanley projects that global debt issuance linked to artificial intelligence (AI) could rise to more than US$500 billion in 2026, according to reporting from Channel NewsAsia and Free Malaysia Today. The forecast points to a shift in how technology companies fund expanding AI-related investment needs. As companies that have historically depended on strong cash flows increasingly require additional financing, they are turning to debt markets to support growth and capital spending tied to AI development. Both outlets describe the outlook as a continuation of rising investment demand in the AI sector, with debt becoming a more common funding route for firms rather than relying primarily on internal cash generation. The coverage does not specify the exact mechanisms of how “AI debt” is defined, nor does it detail country, issuer, or instrument breakdowns. However, the central point shared across both sources is the expected scale of AI-related borrowing in 2026 and the broader trend of technology firms using debt financing to meet growing investment requirements.