Google has sold $3 billion worth of corporate bonds as the interest rates reached the lowest point in years.
The move is the first of its kind for the search engine giant, as competition with rivals Microsoft, Yahoo, Facebook and Apple heats up.
While Google still has over 90 percent of the search engine market by some estimates, Microsoft has been gaining market share through aggressive tactics, including using Google search results in their own engine. Facebook, with its 600 million users, is seen a rival in the online advertisement market, and Google is in an intense competition with Apple over whose mobile operating system will dominate the market.
Google announced that it would use the bond to re-pay short term debts and for other unspecified purposes.
“We plan to use the proceeds to repay outstanding commercial paper and for general corporate purposes," a Google spokesman said in a statement, but decided not to expand further.
The company is expected to increase its spending on product research and hiring, as it plans to take on rivals with newer and improved products.
Google can also use its already vast cash pools to acquire more companies to boost product development and its tech portfolio. By the end of last year, the company had $35 billion in cash reserves.
The company sold $1 billion each of three-year, five-year and 10-year corporate bonds at interest rates of 1.25 percent, 2.13 percent and 3.63 percent respectively.