Chip-backed debt heads toward a US$1 trillion market
Financing backed by artificial intelligence chips is heading toward becoming a US$1 trillion market, according to Bloomberg. The first major deal was a US$2.3 billion private credit loan led by Blackstone for CoreWeave in 2023. Major US banks, asset managers and manufacturers such as Broadcom and Nvidia now participate, with the chipmakers offering guarantees for these deals. JPMorgan analysts expect chip spending to exceed US$3 trillion through 2030, mostly debt-financed, while doubts grow about the sector's profitability.
In 40 seconds
- Blackstone led a US$2.3 billion loan to CoreWeave in 2023, the first major chip-backed debt deal
- The market is heading toward US$1 trillion, above borrowing to build the data centers that house the chips
- Broadcom is working on a US$60 billion deal to buy TPUs and lease them to Anthropic; SpaceX is negotiating US$40 billion for Nvidia chips
Read the full story at Bloomberg Línea
IASummary generated by artificial intelligence from a story by Bloomberg Línea. It may contain errors: the original source prevails.
Comments
Be respectful. Comments reported by several people are hidden until a moderator reviews them.
You do not need an account to read, only to comment. Sign in with a code sent to your email or with your Google account. We only show the name you choose, never your email.