Broadcom Secures $63 Billion to Finance AI Chip Supply for Anthropic With Backing From Wall Street Firms

Broadcom has signed a $63 billion financing agreement to fund purchases of chips it will supply to artificial intelligence company Anthropic.

Bloomberg reported on October 26 that Broadcom announced the previous day that it had reached the $63 billion financing deal with major financial firms including Bank of America, Blackstone, Citigroup and Morgan Stanley.

The transaction will be conducted through a separately established special purpose vehicle, or SPV. Financial firms will provide the funding, and the SPV will purchase Broadcom chips and lease them to Anthropic. Broadcom will support part of the financing by guaranteeing the chips' residual value.

Bloomberg had previously reported that Broadcom was raising about $60 billion to fund purchases of AI chips for Anthropic and others. After weeks of discussions, the final deal size was set at $63 billion.

The agreement is drawing attention as a gauge of financial-market demand for AI infrastructure investment. Wall Street's largest firms are providing large amounts of capital even as opposition to data-center construction has grown and concerns about returns on AI investment have increased.

Broadcom has been expanding sales of AI chips and data-center equipment, intensifying competition with Nvidia. Anthropic is also increasing chip investment to secure the computing resources needed to develop and operate its AI models and services.

Financing for AI infrastructure is also expanding beyond data-center construction to purchases of chips and servers. Nvidia announced in August that it was working with six major financial firms, including Blackstone, on a plan to supply more than $500 billion in funding to the AI industry.