Overview
- On Tuesday, June 9, Apollo-led capital announced a $35 billion initial financing tranche to start Broadcom’s XPV Platform aimed at scaling AI compute for frontier labs.
- The deal creates an SPV run by Apollo’s ATLAS unit to buy Broadcom XPUs and networking gear and lease that hardware to Anthropic to fund a previously announced >1 GW expansion that should begin deploying in mid-2026.
- Financing was reported split into three tranches: a $6 billion A1 note and $24 billion A2 note backed by Broadcom, plus $4.5 billion of uninsured B notes, with senior tranches carrying lower borrowing costs and the B tranche taking greater credit risk.
- Advisors on the transaction include Goldman Sachs, Wells Fargo and Citi for Apollo and Morgan Stanley with JPMorgan for Broadcom, and the structure is presented as a model to mobilize long-term institutional capital for contracted compute.
- The platform aims to enable more than 20 GW of capacity through 2028, and observers will watch concentration of counterparty exposure, the resale value of specialized chips, and how this shifts supply chains and investor scrutiny.