SpaceX signed a roughly $40 billion equipment-finance lease with Apollo Global Management for chips needed for its AI plans, Bloomberg reported on 26 October, citing a SpaceX filing with the US Securities and Exchange Commission. SpaceX has now signed a GPU equipment finance lease.
Key points
- The agreement covers GPU pods and related data centre equipment, with approximately $40 billion in aggregate principal payments.
- SpaceX will lease the hardware from an entity managed by Apollo Global Management.
- The fixed rate awaits pricing. Closing is expected before year-end, with leases expected to start in the first half of 2027.
Apollo-managed entity to lease GPU hardware
SpaceX said it would lease data centre hardware, including AI chips, from an entity managed by Apollo Global Management, Reuters reported. The roughly $40 billion total represents principal payments under the deal.
SpaceX signed a master finance lease agreement covering GPU pods and related equipment for its data centres, Breaking the News reported, citing the SEC filing. It put aggregate principal payments at approximately $40 billion.
Apollo Global Management is an alternative asset manager. Under the arrangement reported by Reuters, the Apollo-managed entity is the party from which SpaceX will lease the hardware. SpaceX is the party due to make the principal payments.
SpaceX moves from debt plans to a lease
SpaceX had been seeking $40 billion in debt financing to buy Nvidia chips, AI Affairs previously reported. The filing described on 26 October sets out a finance lease for GPU equipment, with the roughly $40 billion expressed as aggregate principal payments.
AI Affairs also reported that Elon Musk said SpaceX had closed a $40 billion GPU debt deal. Bloomberg reported that pricing for the fixed rate on the lease had not yet occurred. SpaceX said in the filing that the rate it would pay would be set at pricing, according to Bloomberg.
The lease terms reported on 26 October place the payment obligation with SpaceX and tie the financing to equipment for its data centres. Its fixed rate remains subject to the pricing step described in the filing.
SpaceX expects leases to begin in 2027
SpaceX expects the deal to close before the end of 2026. SpaceX expects the leases to begin in the first half of 2027.
