IT News on October 27th: According to Reuters, Bank of America (Bank of America), Blackstone (Blackstone), Citibank (Citi), and Morgan Stanley (Morgan Stanley) will provide $63 billion (IT Note: Current exchange rate is approximately 420.679 billion RMB) in financing to purchase Broadcom (Broadcom)'s artificial intelligence chips and networking equipment for Anthropic. This is one of the largest debt transactions related to the construction of artificial intelligence capabilities.

The demand for artificial intelligence continues to rise, and major technology companies are competing to reserve computing power to support business loads with increasing complexity. This has led to substantial investments in computing infrastructure.

Relevant companies stated on Monday local time that this transaction will be carried out through a newly established special purpose entity. This entity will purchase Broadcom’s AI accelerated chips and network devices, and then rent them out to those developing Anthropic.

Bank of America, Citibank, and Morgan Stanley were responsible for arranging the first-lien mortgage financing, while Blackstone provided the committed contribution portion for the second-lien mortgage financing.

Broadcom provides 'residual value support' to lenders of priority debt, which is equivalent to providing a guarantee to the lenders within this financing structure: Broadcom is willing to bear any losses resulting from a decline in asset value, with the upper limit being equal to the amount of the first-tier debt. However, the announcement does not disclose the specific scale of this tier of debt.

According to the company, delivery of this batch of equipment is expected to begin in 2027, and it is part of the strategic computing power supply agreement previously announced, which also involves Broadcom's participation.

Even earlier on, Apollo ( Apollo ) and Blackstone had reached an agreement with Broadcom to invest $35 billion (approximately 233.711 billion yuan at current exchange rates) to expand the computing power of AI of Anthropic.

This latest transaction highlights that banks and alternative asset management institutions are playing an increasingly important role in providing infrastructure financing to support the growing demand for computing power of AI.

Anthropic submitted an application for IPO on Monday local time, and this IPO is expected to set a record; however, at the same time, the disclosure of high losses and security vulnerabilities may also test investors' willingness to invest in this AI giant.