Musk puts SpaceX GPU debt financing at $40 billion

Elon Musk said on October 25 that SpaceX had completed a $40 billion financing transaction to purchase graphics processing units. However, it remained unclear what he meant by describing the deal as closed, or whether investors had accepted pricing terms.

Writing on X, Musk said most of the borrowing was callable debt to fund GPUs due to arrive in Q1 and Q2. He said it would not be a major factor in the current quarter and credited SpaceX’s investment-grade status and revenue from Starlink and launch operations for enabling the financing.

Chief Financial Officer Bret Johnsen said SpaceX expects fourth-quarter capital spending of $35 billion to $40 billion. An earlier media report said the company was discussing a $40 billion financing package with banks and asset managers to buy Nvidia AI chips.

SpaceX reported revenue of $14.58 billion for the quarter ended September 30, up 161% from a year earlier. Revenue from AI rose almost 10 times to $7.56 billion.

Musk also said debt funding had become largely unavailable to companies without substantial revenue outside AI data centers. He predicted consolidation and failures among neocloud providers, which specialize in computing capacity for AI customers, and said SpaceX would not acquire any of them.