The Pulse
Wall Street Builds $63 Billion Compute Vehicle for Anthropic
Bank of America, Blackstone, Citi and Morgan Stanley announced a $63 billion transaction to finance Broadcom AI hardware for Anthropic through a special-purpose vehicle. Deliveries are expected to begin in 2027 under a previously announced
AI.info Team · Written with AI · fact-checked ·
Bank of America, Blackstone, Citi and Morgan Stanley announced a $63 billion transaction on October 26 to enable deployment of AI compute capacity for Anthropic using Broadcom technology. The transaction is part of a strategic compute-capacity agreement previously announced by Broadcom, with deliveries expected to start in calendar 2027.
A special-purpose vehicle buys the hardware
The transaction will be executed through a newly formed special-purpose vehicle, or SPV. The financial partners have committed financing to support its purchase of Broadcom XPU AI accelerators and networking solutions, which will be leased to Anthropic. The structure places the equipment purchase in the vehicle rather than describing a direct payment to Anthropic.
Bank of America, Citi and Morgan Stanley are arranging the first-lien portion of the financing. Blackstone is the sole provider of the committed portion of the second-lien financing. Broadcom is providing residual-value support to the SPV equivalent to the first-lien portion of the financing.
Partners describe the financing
The announcement identifies all four firms as the lead financial partners. It describes the transaction as a way to enable deployment of AI compute capacity, and says it is part of the strategic compute agreement previously announced by Broadcom. The release does not give a separate dollar allocation to each financial partner.
“Today’s transaction underscores the power of our advanced technology and our strong conviction in the AI ecosystem. Fundamentally, the need for AI compute continues to grow at an extraordinary pace. This validates that there is capital available to finance such growth and that Broadcom is uniquely positioned to enable it.”
Hock Tan, President and CEO of Broadcom Inc.
Tan’s statement appeared alongside comments from representatives of the financial partners. Jon Gray, Blackstone’s president and chief operating officer, said the growing demand for AI creates an opportunity to finance compute capacity at scale.
“The rapidly growing demand for AI is creating an enormous opportunity to finance compute capacity at scale. We’re proud to help advance this buildout with Broadcom.”
Jon Gray, President and COO of Blackstone
Bank of America described its role in terms of infrastructure financing and capital solutions. The company’s co-president, Jim DeMare, said the transaction brings together Broadcom technology and bank capital.
“Advancing AI responsibly requires turning ambitious technology plans into tangible compute infrastructure. Bank of America’s infrastructure financing expertise, advisory capabilities and broad capital solutions platform enable us to deliver innovative structures and mobilize institutional capital at scale. This transaction brings together Broadcom’s leading technology and significant bank capital to accelerate the buildout of compute capacity that will power the next wave of AI innovation.”
Jim DeMare, Co-President of Bank of America
Deliveries expected in 2027
The announced schedule puts expected deliveries in calendar 2027. Broadcom’s announcement links the financing to its previously announced strategic compute-capacity agreement, while describing the SPV’s planned purchases as Broadcom accelerators and networking solutions for lease to Anthropic.
The transaction involves separate roles for the financial partners and the technology supplier: Bank of America, Citi and Morgan Stanley are arranging the first lien; Blackstone is providing the committed portion of the second lien; and Broadcom is providing residual-value support equal to the first-lien portion. Sullivan & Cromwell is serving as legal counsel to Broadcom, and Evercore is its financial adviser.
The companies described the arrangement as financing for AI compute deployment using Broadcom’s technology for Anthropic. The release does not characterize the transaction as a direct cash payment to Anthropic: it says the SPV will use committed financing to buy the equipment and lease it to the AI company.