Broadcom Inc. is in negotiations with a group of lenders to raise more than $60 billion in debt for an artificial intelligence chip financing deal that could ultimately reach as much as $100 billion, according to a Bloomberg report.
The financing would benefit Anthropic PBC and other AI companies, with the chipmaker potentially guaranteeing part of a senior-secured tranche ranging from $60 billion to $70 billion. An additional $30 billion junior debt tranche could bring the total raise to $100 billion, making it one of the largest debt financing deals in technology history.
Blackstone and Apollo Lead Investor Group
Blackstone and Apollo Global Management are in talks with Broadcom to participate in the financing, Bloomberg reported, citing people familiar with the matter. The deal would be issued through a special-purpose vehicle, similar in structure to a $35 billion agreement struck in June by the same three companies to finance data center construction for Anthropic.
That initial commitment was expected to add one gigawatt of computing capacity, while the broader AI XPV Platform partnership aims to enable more than 20 gigawatts of compute power for leading AI labs by 2028.
Broadcom declined to comment on the report, while Blackstone said it would not comment and Apollo did not immediately respond to requests.
AI Infrastructure Spending Surges
The potential financing underscores the massive capital requirements of the AI boom. Broadcom designs custom chips for companies including Alphabet, Meta, Anthropic, and OpenAI, positioning it at the center of the semiconductor supply chain for the fastest-growing segment of the technology industry.
Broadcom expects to generate more than $100 billion in revenue from AI chips next year, with Anthropic reportedly accounting for more than 40% of that sum. The company recently debuted the Jalapeño inference accelerator with OpenAI and extended its chip partnership with Google through 2031.
Tech companies have been increasingly turning to debt markets to fund their costly AI investments. The major hyperscalers, including Alphabet, Amazon, and Microsoft, have signaled that spending on AI infrastructure will remain elevated through 2026 and beyond, driving unprecedented demand for custom silicon and the financing to build it.
Sources: Bloomberg; Reuters; SiliconAngle; Business Times
discussion