The company is in talks to raise about $10 billion in bank loans and $30 billion in investment-grade debt, with Apollo expected to lead the financing and PIMCO among the institutions discussing participation
The potential deal follows SpaceX’s $86 billion IPO in June and a subsequent $25 billion bond sale, taking total capital raised this year to roughly $111 billion before the latest proposed financing.
SpaceX Is Turning to Debt to Scale AI Faster
The new financing would primarily fund Nvidia hardware for SpaceX’s growing data-center operations.
Musk has been rapidly expanding compute capacity tied to xAI and related businesses. Reuters Breakingviews reported that SpaceX aims to increase computing capacity from roughly 1.4 gigawatts to 15 gigawatts by the end of 2027, an extraordinary jump that would require massive spending on chips, power and facilities.
That makes the latest debt plan part of a broader shift in AI financing.
Companies are increasingly moving beyond internal cash flows and equity issuance toward bank loans, bonds, leasing structures and private credit to fund AI infrastructure.
Credit Markets Are Already Reacting
Investors are not treating the additional borrowing as risk-free.
SpaceX’s five-year credit-default-swap spread has reportedly risen to a record level as the company adds more leverage. Its bonds also weakened after reports of the new $40 billion financing plan.
That is important because AI infrastructure spending increasingly depends on future revenue arriving fast enough to cover fixed financing costs.
SpaceX management believes the payback period on new compute capacity could be less than a year, while outside estimates cited by Reuters put it closer to around 18 months.
