SpaceX closes $40 billion debt deal to buy Nvidia GPUs as Musk warns of AI lending crunch

SpaceX has closed a $40 billion debt financing package to purchase Nvidia GPUs, confirming a deal first reported as preliminary earlier in October. Elon Musk announced the close of the transaction and said GPU deliveries are expected in Q1 and Q2 of 2027. Apollo Global Management led the financing, with Pimco among the lenders, structured primarily through investment-grade debt alongside bank loans.

SpaceX reported Q3 revenue of $14.58 billion, up 161% year-over-year, while capital expenditures nearly tripled to $19.6 billion, underscoring the company's aggressive pace of AI infrastructure investment. The company also disclosed a first test chip for its Terafab program, targeted for May to June 2027. Musk separately cautioned that the scale of financing required for AI buildout risks creating a broader lending crunch for the sector.

The deal ranks among the largest debt financings ever undertaken for AI infrastructure and signals a broader pressure point in credit markets. Analysts and observers flagged that the transaction could accelerate consolidation among smaller AI infrastructure firms unable to access similar capital at comparable terms. SpaceX had already secured compute agreements with Google, Anthropic, Reflection AI, and Cursor ahead of the close.