Broadcom Negotiates Over $60 Billion AI Chip Financing, Benefiting Anthropic and Others

Broadcom (AVGO-US) is currently in discussions with a consortium of lending institutions to raise more than $60 billion for an AI chip financing deal. According to a Thursday (20th) report by Bloomberg, this transaction will benefit Anthropic and other companies.

The financing could include approximately $30 billion in subordinated debt, while Broadcom will guarantee part of the senior secured debt, estimated to be between $60 billion and $70 billion.

Reportedly, the amounts currently under discussion could bring the total financing package to as high as $100 billion.

Sources indicate that Blackstone (BX-US) and Apollo Global Management (APO-US) are negotiating with Broadcom to participate in the financing, following a partnership agreement the three firms reached in June.

This agreement adds to a growing list of deals aimed at funding AI infrastructure. AI companies, including Anthropic—the developer of Claude—are playing an increasingly critical role in building such infrastructure and seek to secure sufficient computing power.

Meanwhile, Broadcom aims to sell more chips and other data center equipment, challenging Nvidia's (NVDA-US) dominant position in this highly profitable market.

According to insiders, the potential deal would help companies, including Anthropic, gain access to chips and other key AI infrastructure components.

Broadcom's stock rose slightly by 0.4% on Thursday to $364.03 per share. Year-to-date, the stock has increased by 4.7%.