Apollo and banks negotiate financing for SpaceX's $40 billion Nvidia GPU acquisition

Oct 7, 2026

AI Summary

Apollo Capital Management and several banks are in talks to finance SpaceX's planned $40 billion purchase of Nvidia GPUs. The financing will likely involve investment-grade debt and use the GPUs as collateral amid a challenging market for AI-related bonds.

Apollo Capital Management is in discussions with SpaceX and several banks to facilitate a $40 billion purchase of Nvidia graphics processing units.
The financing is expected to rely on the investment-grade debt market, which SpaceX previously accessed four months ago.
SpaceX raised $25 billion in bonds shortly after its IPO in June, indicating strong demand from fixed-income investors.
The market for AI-related bonds has recently seen a decline, with widening credit spreads affecting investor sentiment.
The GPUs are anticipated to be used as collateral for the debt deal, with expectations that they will retain value for about seven years due to ongoing computing power scarcity.
The financing discussions come amid rising costs for AI-related funding, following similar bond issuances by companies like Meta, Amazon, and Google.
Investors are becoming more selective in their AI investments, demanding higher yields to service the debt.

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Apollo and banks negotiate financing for SpaceX's $40 billion Nvidia GPU acquisition

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