AI NewsWaveBroadcom Helps Anthropic Raise $63 Billion for AI Chip Purchases
Key points
- Broadcom backs financing of Anthropic's AI chip purchases
- $63 billion raise structured as chip leasing
- Broadcom CEO negotiates directly as banks hesitate
U.S. semiconductor company Broadcom has moved to raise $63 billion to support AI company Anthropic's purchase of AI chips. iNews24 reported that Broadcom put together a financing structure for this, and Digital Daily, citing foreign media, reported that Broadcom reached an agreement with major U.S. financial firms.
The structure is a chip lease. According to AI Times, Wall Street banks such as Bank of America, Citigroup and Morgan Stanley, along with alternative asset manager Blackstone, will raise the funds, buy Broadcom's AI chips and networking equipment, and lease them to Anthropic. Chosun Biz explained that financial firms buy AI chips with money raised through loans and other means and lease them to Anthropic, and said in its headline that Broadcom bears the risk of value decline. IT Chosun also reported that it is a method of buying Broadcom's AI chips and network equipment and then leasing them to Anthropic.
EBN and Newsis reported on the negotiation process. Newsis reported that the deal struggled until the last minute as financing conditions worsened amid concerns over an AI investment bubble and rising interest rates, and that Broadcom stepped in when some banks considered pulling out. EBN wrote that Broadcom's CEO personally joined last-minute talks with banks and the contract was sealed, and reported that although it is the largest financial transaction ever in AI infrastructure, banks hesitated to take part. iNews24 wrote that Broadcom did more than simply connect financial institutions, and Digital Daily said in its headline that it breaks Nvidia's stronghold. The won conversion of the amount was about 83.4681 trillion won in iNews24, about 83 trillion won in AI Times, about 83.5 trillion won in Chosun Biz and about 90 trillion won in IT Chosun.
News of AI infrastructure financing followed one after another around the same time. Hellodd said in its headline that Anthropic, SpaceX, Meta and others are competing to raise $200 billion to secure AI chips. Chosun Biz reported that Meta said on the 26th (local time) it plans to raise up to $95 billion through a rights offering and the sale of newly planned Class C non-voting shares, while iNews24 reported that it will raise $35 billion by issuing common and preferred stock. Newsis described this as raising funds to expand infrastructure such as AI data centers and cloud computing.
Glossary Networking equipment is communications hardware that lets servers and AI chips exchange large amounts of data.