---
title: Broadcom Is Backing the Senior Debt in a $63 Billion Financing of Its Own Chips for Anthropic
description: Banks and Blackstone commit $63 billion to a vehicle that will lease Broadcom AI chips to Anthropic, with Broadcom backing the senior debt.
author: Darie Nani (Editor-in-Chief)
date: 2026-10-27T13:16:48.955Z
updated: 2026-10-27T13:16:48.971Z
canonical: https://www.sovereignmagazine.com/article/broadcom-anthropic-63-billion-chip-spv-financing
image: https://cdn.nanimediahouse.com/pexels-side-view-crop-concentrated-african-american-engineer-repair-442151.jpg
categories: Markets
content_type: News
region: United States
publication: Sovereign Magazine
schema_type: Article
---

Broadcom is giving residual value support, a promise to cover a shortfall if equipment turns out to be worth less than expected, on the senior debt of a new $63 billion vehicle that will buy Broadcom AI accelerators and networking equipment and lease them to Anthropic.

Bank of America, Citi and Morgan Stanley are arranging that first lien, which is repaid first, and Broadcom's support equals its full amount. Blackstone is the sole provider of the committed portion of the second lien, which is repaid after it. The companies described no similar support for Blackstone's layer, and they did not say how the $63 billion splits between the two liens or what interest either one pays.

Deliveries are expected to start in calendar 2027. The vehicle will own the accelerators, which Broadcom calls XPUs, and lease them to Anthropic as part of [the compute agreement Broadcom announced earlier](https://www.sovereignmagazine.com/article/anthropic-volta-bitdeer-norway-compute). Anthropic has said it expects capacity under its [agreement with Google and Broadcom](https://www.anthropic.com/news/google-broadcom-partnership-compute) to begin coming online that year. [Anthropic's draft prospectus lists equipment leases tied to Broadcom as its largest single compute commitment](https://www.sovereignmagazine.com/article/anthropic-ipo-518-billion-compute-commitments).

## Broadcom Backed $30 Billion of an Earlier $34.5 Billion Anthropic Financing

A group led by Apollo-managed funds, with Blackstone and global banks, committed $34.5 billion of debt to finance more than a gigawatt of Google TPU systems for Anthropic, much of it assembled in early 2026, according to [an analysis by Epoch AI](https://epoch.ai/gradient-updates/will-financing-bottleneck-ai-compute).

Broadcom supported $30 billion of that debt and left the other $4.5 billion uncovered, according to Epoch. The two senior tranches, which are repaid first, were $6 billion priced 1 percentage point above Treasury yields and $24 billion at 5.75%. The $4.5 billion junior tranche pays 8.5%. "Broadcom's backstop protects the A1 and A2 investors, but not the B investors," Epoch's Campbell Hutcheson wrote.

Hutcheson said Broadcom's agreement to absorb part of the losses if Anthropic stopped paying made the debt cheaper and opened it to more investors, without Broadcom putting up the money itself. Anthropic did not need the cash to buy the systems, he wrote, because its future lease payments attracted the capital.

The new financing is almost twice that size. Broadcom again backs the senior debt, and this time Blackstone alone provides the committed junior layer.

## Broadcom Has Also Agreed to Lend Anthropic Up to $42 Billion

Reuters reported on 1 October, citing Anthropic's IPO prospectus, that Broadcom has agreed to lend Anthropic up to $42 billion for infrastructure spending, through notes that could convert into Anthropic shares, and that Broadcom could designate a financing partner. Anthropic said it does not expect any notes to be sold before it completes its IPO. The companies did not say whether the new vehicle is connected to that arrangement.

Reuters also reported that Anthropic is set to become the largest customer of Broadcom's chip design business next year, and described the relationship as a prime example of the reciprocal spending that has animated AI skeptics on Wall Street.

## Meta Backed Its Own $27 Billion Data Center Lease With a Similar Guarantee

Meta gave a residual value guarantee when it formed a $27 billion joint venture with Blue Owl Capital in October 2025 to finance its Hyperion AI data center campus in Louisiana. Blue Owl funds own 80% of the venture and Meta owns 20%. Bisnow reported that Meta agreed to make a cash payment to the venture if it does not renew or ends its lease during the first 16 years of operation. Fortune called the deal the largest private-debt offering ever at the time, and reported that the structure let Meta build without carrying the full $27 billion of debt on its own balance sheet.

In the Hyperion deal the tenant guaranteed its own lease. In the Anthropic deal the guarantee comes from Broadcom, the company selling the hardware.

Broadcom's support also covers chips rather than a building, and [chips wear out sooner than the data centers that house them](https://www.sovereignmagazine.com/article/data-center-abs-master-trust-520-million). Alphabet says in its latest annual report that it depreciates servers and network equipment generally over six years.

Epoch concluded that financing is unlikely to be the immediate limit on how fast frontier AI compute grows, while noting that rapid revenue growth is not the same as a long record of stable cash flows.

## FAQ

**Q: Does Anthropic use Broadcom chips?**
Yes. The $63 billion vehicle will buy Broadcom's custom AI accelerators, which Broadcom calls XPUs, along with Broadcom networking equipment, and lease them to Anthropic from 2027. Reuters has reported that Google and Broadcom have worked together on several generations of TPUs, the chips named in Anthropic's April agreement with both companies.

**Q: What is a special purpose vehicle (SPV)?**
A special purpose vehicle is a separate legal entity set up for a single transaction. In this deal the vehicle borrows from the four lenders, owns the Broadcom hardware and leases it to Anthropic, whose lease payments are what the lenders are relying on to be repaid.

**Q: What happens to the lenders if Anthropic stops paying?**
The new deal's terms on default have not been published. In the earlier $34.5 billion financing, Epoch says Broadcom can take over the lease or arrange for the racks to be sold; the sale proceeds repay investors, and Broadcom then covers remaining shortfalls on the two senior tranches, subject to a reported maximum exposure of $29 billion.

**Q: When does the money in these deals actually get spent?**
Capital is paid out as the hardware arrives rather than all at once. In the earlier deal, Epoch says the racks began deploying with money released in about 16 stages over a little more than a year, and around $24 billion expected to be paid out by summer 2027. Deliveries under the new deal are expected to start in calendar 2027.