SpaceX reportedly seeks $40 billion in debt to buy Nvidia chips

SpaceX is reportedly in early talks to borrow approximately $40 billion. The money would go toward Nvidia AI chips for its data centers.

The proposed package, reported on Oct. 6-7, 2026, would be split two ways: $10 billion in bank loans and $30 billion in investment-grade bonds. If negotiations proceed as expected, it would rank among the largest financings tied to AI expansion. The deal is projected to close by 2027.

The details of the debt package

Apollo Global Management is expected to lead the debt placement. PIMCO is in discussions as one of a small group of potential lenders.

The stated goal is hardware. SpaceX wants to buy Nvidia chips to expand its artificial intelligence infrastructure.

The centerpiece is the Colossus 2 cluster. SpaceX aims to significantly increase that cluster’s Nvidia chip count by December 2026.

A caveat matters here. The talks are at a preliminary stage, and the financing might not materialize at all.

Still, recent history suggests lenders will at least pick up the phone. SpaceX’s last bond sale drew nearly $90 billion in orders.

That bond sale was for $25 billion. Demand ran more than three times the amount on offer.

How SpaceX got to $150 billion in four months

In June 2026, SpaceX went public. The IPO raised between $85.7 billion and $86 billion.

Later that same month, the company followed up with the $25 billion bond offering. Lenders lined up to take part.

Now add the proposed $40 billion debt package. Combine all three, and estimates put SpaceX’s total capital raised at over $150 billion within roughly four months.

For scale, consider the revenue side. SpaceX generated an estimated $18.7 billion in revenue last year, mostly from its Starlink satellite internet business.

The proposed debt alone is more than double that annual revenue figure.

SpaceX holds an investment-grade credit rating, which means ratings agencies view it as a relatively reliable borrower.

Why investors are split on the borrowing spree

Fool.com framed the central question bluntly: should investors be worried, or is this a buy signal?

The cautious reading focuses on what the money is for. A large share of this financing would buy hardware, not build the rockets and satellites that generate SpaceX’s core revenue.

Ray Dalio has warned about a potential AI bubble. Debt-fueled expansion into a sector that may be overheating carries risks that equity-funded growth does not.

Debt has to be repaid on schedule regardless of whether the AI bet pays off.

What this means for SpaceX, lenders, and the AI trade

For SpaceX shareholders, the key question is return on capital. The company is betting that AI compute from Colossus 2 will eventually produce revenue that justifies the debt load.

The target of significantly boosting the cluster’s Nvidia chip count by December 2026 leaves little room for delay, while the financing itself is not expected to close until 2027.

If the chips need to arrive this year but the full debt package lands next year, SpaceX may need to bridge the difference with existing cash from its IPO and bond proceeds.

For lenders like Apollo and PIMCO, investment-grade debt from a high-profile issuer with proven demand is an attractive asset to hold, especially when the previous deal was heavily oversubscribed.

The things to track are concrete. Watch whether the talks move from preliminary to formal, whether the $10 billion and $30 billion split holds, and how bond buyers price the new paper compared with June’s offering.

Also watch whether Colossus 2 hits its December 2026 chip target.