Elon Musk said on Sunday that SpaceX had closed $40 billion in debt financing for graphics processing units, underlining the soaring cost of building artificial intelligence computing capacity. Musk attributed the raise to the company’s investment-grade status and revenue from its Starlink satellite internet and launch businesses. The debt is primarily callable debt for GPU purchases arriving in the first and second quarters, Musk said, and is not a major factor this quarter. SpaceX expects $35 billion to $40 billion in capital expenditure in the fourth quarter, according to its chief financial officer. Reuters had reported earlier in October that SpaceX was in talks to raise $40 billion, led by Apollo, to buy Nvidia AI chips, though Musk’s post did not make clear whether investors had agreed pricing. Musk also warned that debt markets had almost entirely shut off money for companies without substantial revenue independent of AI data centres, predicting failures and consolidation among smaller neocloud firms. The warning matters beyond one company: it shows how the AI boom is now being financed, and how quickly lenders are separating strong borrowers from fragile ones. Sources: Reuters, Financial Times. Written in our own words for information only.