SpaceX secures $40B in debt for GPU purchases
Elon Musk says SpaceX has closed debt financing to secure processors scheduled for delivery in the first and second quarters.
SpaceX has closed $40 billion in debt financing for graphics processing units, Elon Musk said on October 25, according to Reuters. The financing will support purchases of processors due to arrive in the first and second quarters.
Musk described most of the borrowing as callable debt. He said SpaceX’s investment-grade standing and income from its Starlink and launch businesses had supported its access to credit.
The financing gives SpaceX another source of capital for its AI infrastructure buildout as competition for advanced chips drives large spending commitments. Reuters had reported earlier in October that the company was negotiating the package.
Use of funds
Purchase GPUs scheduled to arrive in the first and second quarters