Broadcom to raise $60 billion to fund AI chips for Anthropic, others

A representative picture.Broadcom’s Wall Street banking syndicate is preparing to raise $60 billion in fresh financing for AI chips and infrastructure that would benefit Anthropic and other companies, Bloomberg reported, citing people familiar with the matter.Banks involved in the debt package are preparing to send out syndication letters for a $42 billion Class A senior-secured tranche, according to the report.Blackstone is leading a separate $18 billion Class B junior debt tranche, committing $9 billion through various funds and planning to syndicate the remainder.Financing could help Anthropic access AI chipsThe financing has been taking shape for weeks and is being closely watched by Wall Street and Silicon Valley as investors assess appetite for funding AI infrastructure amid public opposition to data-centre construction.Broadcom is seeking to sell more chips and other data-centre equipment as it competes with Nvidia, while AI companies including Anthropic require increasing computing capacity.The potential financing would help companies including Anthropic access chips and other AI infrastructure.The proposed deal would add to hundreds of billions of dollars in debt already raised for AI infrastructure.

While much of the financing has been directed towards data centres, deals funding chips and servers have also increased.In August, Nvidia announced a partnership with six major financial companies, including Blackstone, aimed at mobilising more than $500 billion for AI, including financing customers’ purchases of Nvidia chips.Blackstone’s investment in Anthropic has also helped boost the performance of its private equity fund catering to wealthy investors.