SpaceX plans to raise $40 billion to purchase Nvidia chips, with Apollo leading the arrangement.

SpaceX, Elon Musk’s aerospace firm, is seeking to raise around $40 billion in funding, led by Apollo Global Management, to purchase Nvidia chips and further expand its AI investments. Sources familiar with the matter said the financing package includes roughly $10 billion in bank loans and $30 billion in investment-grade debt, with the round expected to be completed in 2027. Institutions including Pimco are also participating in related financing discussions. SpaceX currently holds a BBB credit rating, the second-lowest investment-grade classification, meaning its bonds are eligible for purchase by institutional investors such as insurance companies and pension funds. This financing will further strengthen SpaceX’s partnership with Nvidia. Musk previously stated that SpaceX has decided to exclusively use Nvidia technology, and considers its Vera Rubin architecture the best AI computing architecture available today. The financing plan also underscores that AI data centers, chips, and related infrastructure development are attracting massive financing demands. Prior to this, SpaceX obtained an investment-grade rating after its June IPO, and subsequently issued $25 billion in senior bonds. However, its bond prices have since declined due to concerns over rising debt levels and increased capital expenditures.