AI chip financing hits a wall
The next test for Wall Street will be whether Goldman Sachs and Apollo can convince enough investors to buy into a $40 billion chip financing deal for SpaceX, the largest of its kind, which the firms have started marketing.
Key points
- On Friday, Bloomberg reported that Dutch bank ING was looking to dump $500 million of data-center loans, including a $25 million chunk backing Stargate, the OpenAI, SoftBank, and Oracle project.
- “I, for one, personally do not know how to underwrite the decline and depreciation curves on that type of technology,” he said.
- After rushing to lend gobs of money for the data-center buildout, now some investors can’t dump it fast enough.
Some big players have already put a stake in the ground against financing as a whole: “Without casting aspersions on GPU financing,” Ares Management CEO Michael Arougheti said on a recent earnings call, the firm was going to pass on such deals.
How this summary was made: extractive summary — built from the sources' own reporting. It is drawn only from the reporting of the sources listed below — read the originals for full detail. How we summarize →
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