SpaceX, Broadcom Plan Debt Deals as AI Borrowers Chase $70 Billion Opportunity
Updated
Updated · Bloomberg · Oct 11
SpaceX, Broadcom Plan Debt Deals as AI Borrowers Chase $70 Billion Opportunity
3 articles · Updated · Bloomberg · Oct 11
Summary
SpaceX and Broadcom are preparing major debt sales, adding to a tech bond pipeline that is growing even as higher yields usually curb issuance.
AI spending is driving the borrowing: hyperscalers are willing to pay more to fund data centers and AI chips because expected returns remain large.
That financing wave is heightening investor concern about how much new debt is still coming to market from companies racing to build AI capacity.
OpenAI’s annualized revenue is expected to reach $70 billion or more by year-end, underscoring why issuers still see AI expansion as worth the higher funding cost.