Broadcom Seeks $60B+ AI Chip Financing

According to people familiar with the matter, Broadcom is in discussions with multiple lenders to raise more than $60 billion in debt for an artificial intelligence (AI) chip financing deal that would benefit Anthropic and other companies.

The proposed financing could include approximately $30 billion in subordinated debt, while the chip design company would provide partial guarantees for around $60 billion to $70 billion in senior secured debt. The figures under discussion could bring the total financing package to as much as $100 billion.

As major technology companies increasingly develop custom AI chips to reduce their reliance on Nvidia, Broadcom has become a key player in designing custom silicon for companies such as Alphabet and Meta. Broadcom has also entered chip supply agreements with Anthropic and OpenAI.

Blackstone and Apollo Global Management are reportedly in talks with Broadcom about participating in the financing.

The potential financing follows a partnership agreement reached in June between Broadcom, Apollo and Blackstone to finance Anthropic's $35 billion computing capacity expansion using Broadcom's custom chips and networking solutions.

The initial commitment is expected to add 1 gigawatt of computing capacity, while the broader project aims to provide more than 20 gigawatts of computing capacity for leading AI laboratories by 2028.

The new debt could be issued by a special-purpose vehicle, similar to the structure used for the $35 billion agreement.

Technology companies are increasingly turning to debt markets to finance their costly AI infrastructure investments. Hyperscale data center operators, including Alphabet, Amazon and Microsoft, have indicated that AI-related spending is expected to remain elevated through 2026.