Broadcom Negotiates $60 Billion Debt Raise for AI Chips

Broadcom Inc. is negotiating with lenders to raise more than $60 billion in debt to finance AI chips for partners, including Anthropic. The proposed financing structure consists of a junior debt tranche of approximately $30 billion and a senior-secured tranche between $60 billion and $70 billion. Because Broadcom would partially guarantee the senior tranche, the total capital raise could reach $100 billion.

Blackstone Group Inc. and Apollo Global Management are currently in talks to participate in the deal. This effort builds on a June partnership between the three firms to finance a $35 billion expansion of computing capacity for Anthropic. The broader initiative seeks to provide more than 20 gigawatts of compute power for leading AI laboratories by 2028.

The debt would be issued through a special-purpose vehicle. This move reflects a growing trend among technology companies to utilize debt markets to fund the high costs associated with AI infrastructure.