SpaceX closes US$40 billion debt deal for AI chips, Musk says

Elon Musk claimed SpaceX closed a US$40 billion debt deal to fund AI chip purchases, though sources told Bloomberg that pricing talks were still ongoing as of late Sunday. The debt, structured as private bonds via an off-balance-sheet entity, comes amid market turmoil over AI spending, with investors demanding higher premiums. Musk warned that neoclouds lacking independent revenue face "guppy-level death," while SpaceX's investment-grade rating and profitable AI unit support its position. Goldman Sachs is leading the deal with Apollo Global Management, and SpaceX previously recorded US$13 billion of a similar financing as debt after a failed sale-leaseback arrangement. The company's third-quarter earnings showed its AI unit turning its first profit.