Bank of America, Blackstone, Citi and Morgan Stanley Jointly Provide $63 Billion in Compute Financing for Anthropic

Bank of America, Blackstone, Citi and Morgan Stanley jointly announced on Monday that through a newly established special purpose vehicle (SPV), they will provide a total of $63 billion in financing to purchase Broadcom AI accelerators and networking equipment and lease them to AI large-model developer Anthropic. Chip deliveries are expected to begin in 2027.

The sheer size and complex structure of the deal have drawn intense attention from Wall Street and Silicon Valley. Against a backdrop of pushback against data center construction and doubts about the future demand outlook for AI, the transaction is seen by the market as an important endorsement of institutional capital's confidence in AI infrastructure investment.

Meanwhile, Anthropic also filed for an IPO that day, reporting a net loss of $80.7 billion in the first half of the year; the company said it may never achieve profitability and warned of an "existential crisis" for humanity.

Broadcom closed up 2.33% on Monday.

Deal structure: SPV in the middle, Broadcom backstopping

According to statements from the parties, the financing is executed through a newly established SPV, with the funds used to purchase Broadcom XPU AI accelerators and networking solutions, which are then provided to Anthropic in lease form.

In terms of financing tiers, Bank of America, Citi and Morgan Stanley arranged the senior (first-lien) financing, while Blackstone was the sole commitment provider for the second-lien financing.

Broadcom provides "residual value support" to the SPV in an amount equal to the size of the first-lien financing, effectively amounting to a guarantee to senior creditors; if the asset value declines, Broadcom will bear the corresponding losses. The parties did not disclose the specific size of the first-lien debt.

Broadcom President and CEO Hock Tan said the deal confirms the market's judgment that demand for AI compute will continue to grow, and also validates the availability of financing capital and Broadcom's unique position in this ecosystem.

It is worth noting that this transaction is part of the previously announced strategic compute agreement between Broadcom and Anthropic. Prior to this deal, Apollo and Blackstone had already reached a financing arrangement for Anthropic's $35 billion compute expansion, and the latest $63 billion agreement is a further expansion on that original base.

Capital positioning: banks and alternative asset managers rush in

According to a previous Bloomberg report, the syndicate Broadcom assembled on Wall Street had begun raising about $60 billion in AI chip financing for Anthropic and other companies earlier this month, with Bank of America, Citi and Morgan Stanley all among them. This transaction was finalized after weeks of negotiations.

Blackstone President and Chief Operating Officer Jon Gray said the rapid growth of AI demand is creating a huge opportunity to finance compute at scale.

Morgan Stanley Co-President Dan Simkowitz said the bank has been at the forefront of designing scalable capital solutions for AI infrastructure.

Vis Raghavan, head of banking at Citi, said the scale of capital required for AI financing is unprecedented, and Citi will use its global capital markets structuring and distribution expertise to help accelerate the construction of critical AI infrastructure.

Bank of America Co-President Jim DeMare emphasized that the transaction combines Broadcom's leading technology with large-scale bank capital to drive the next wave of AI innovation.

This transaction is the latest footnote in the wave of AI infrastructure financing. Previously, hundreds of billions of dollars in debt capital have flowed into this sector, much of it toward data center construction, but specialized financing deals for chips and servers are also increasing rapidly.

In August this year, Nvidia announced a partnership with six well-known financial institutions, including Blackstone, planning to mobilize more than $500 billion for AI buildout and to help customers finance purchases of its chips.

For Anthropic, continued growth in AI model training and inference demand means its appetite for compute will remain high for a long time. The interests of both sides are highly aligned in this record-sized transaction. Risk disclosure and disclaimer

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