SpaceX, owned by Elon Musk, wants to borrow $40 billion. Broadcom is preparing more than $50 billion for OpenAI. At the same time, it is raising another $60 billion for Anthropic and other companies.
And all of this is for one thing: chips.
We are talking about more than $150 billion in borrowed money. Yes, you read that right.
MONEY IS FLOWING FREELY
Technology companies and AI model developers are investing and borrowing hundreds of billions of dollars. Why? To build massive data centers packed with chips. And this race has sent the cost of everything soaring, from land and chips to power generation equipment.
"And how much have they borrowed so far?" you might be wondering.
Through bond issuance alone, companies and AI infrastructure projects have raised at least $360 billion this year. That's 5.8% of all bonds issued worldwide. Last year, the figure was just 1.9%, at nearly $125 billion. In other words, their share has tripled in just one year.
And will it stop here? Morgan Stanley estimates that AI infrastructure will require $1.5 trillion in external financing by 2028. In other words, a lot more borrowing lies ahead.
MUSK'S $40 BILLION
Now let's move on to the first big story.
SpaceX, which has become a giant in rockets, satellites, and AI, is in talks with banks and investors to borrow $40 billion. What for? To buy chips from Nvidia.
The plan involves approximately $10 billion in bank loans and $30 billion in investment-grade bonds. What does that mean? Put simply, these are bonds issued by companies that financial markets trust to repay their debts.
Apollo is leading the deal, while PIMCO is also participating in the discussions. The deal is expected to close in 2027.
We are talking about one of the largest debt financings ever undertaken for AI.
And let's remember that Musk, now a trillionaire, took SpaceX public in June, with a record-breaking $86 billion IPO.
EVERYONE IS BUYING FROM NVIDIA
And this brings us to the biggest winner in this whole story: Nvidia.
It is the dominant supplier of AI processors. And Musk has made his position clear. SpaceX will build its data centers exclusively with Nvidia equipment.
And look at the scale we are talking about.
Last month, Musk wrote that Colossus 2, xAI's massive computing facility near Memphis, had 110,000 Nvidia GB200 chips and 440,000 GB300 chips. He also said another 220,000 GB300 chips would come online within a week, followed by another 220,000 in November.
And possibly another 220,000 in late December, "if we're lucky." In other words, the number of chips could more than double by the end of the year.
But Nvidia doesn't just sell chips. It also helps its customers find the money to buy them.
Let's remember that in August, Nvidia formed an alliance with Apollo, Blackstone, BlackRock, Brookfield, Goldman Sachs, and KKR. The goal? More than $500 billion for AI infrastructure, using dedicated funds and attractive financing rates for Nvidia's customers.
Apollo has already provided $7 billion to xAI to lease Nvidia chips for Colossus 2.
BROADCOM'S RESPONSE
Nvidia isn't alone, though. Broadcom also wants to sell more chips and data center equipment, putting it in direct competition with Nvidia.
First, Anthropic.
Broadcom's Wall Street banking partners are raising $60 billion in financing for chips for Anthropic and other companies.
Of that amount, $42 billion is senior secured debt. In other words, those lenders get paid first if things go wrong.
The remaining $18 billion is junior debt, led by Blackstone, which is providing $9 billion of its own money.
Then there's OpenAI.
Broadcom is discussing a similar financing package involving more than $50 billion in debt. The goal is to enable OpenAI to purchase the chips the two companies are designing together.
Their partnership began in October 2025, with the aim of delivering 10 gigawatts of AI accelerators by the end of 2029.
The chips are being developed under OpenAI's Nexus program and have the code names... Jalapeño and Serrano.
"And why does OpenAI need to borrow money?" you might be wondering.
Because it pays for the chips upfront, while the revenue generated by them comes later.
The borrowing bridges that gap. Potential lenders include Apollo and Blackstone, but a deal isn't expected before the end of the year.
