Broadcom has agreed to lend up to USD 42 billion to Anthropic to finance the company's infrastructure spending, according to details in Anthropic's IPO prospectus. The arrangement gives Broadcom a much broader role in Anthropic's expansion than simply supplying chips, with the semiconductor company also involved in equipment leasing and financing.
The financing is tied to Anthropic's plans to lease USD 125.2 billion worth of Tensor Processing Unit (TPU) computing capacity over five years. The Broadcom facility could therefore cover roughly one-third of that commitment. The deal comes as Anthropic prepares for a potential public offering that could value the AI company at as much as USD 2 trillion, according to reports.
Broadcom's relationship with Anthropic includes chip supply, equipment leasing and financing. The two companies, along with Google, have also expanded an agreement under which Anthropic is expected to gain access to multiple gigawatts of next-generation TPU computing capacity beginning in 2027. Broadcom and Google have worked together on several generations of Google's custom AI processors.
The financing arrangement could also give Broadcom an equity connection to Anthropic. Under the deal, the debt instruments could be converted into Anthropic shares. Anthropic said in its filing that it does not expect to sell any of those notes before completing its IPO.
The arrangement also highlights the financial risks involved in funding the rapid expansion of AI computing infrastructure. Seaport Research analyst Jay Goldberg said that Broadcom's approach follows NVIDIA's use of its financial resources to support chip sales.
Anthropic has also disclosed potential conflicts arising from Broadcom's dual role as a hardware supplier and financing partner. The AI company warned that Broadcom's pricing and hardware decisions could affect its ability to secure sufficient computing infrastructure.
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The relationship is expected to become particularly important for Broadcom in 2027, when Anthropic is projected to become its largest compute customer. Broadcom has forecast AI semiconductor revenue of around USD 115 billion in fiscal 2027 and USD 230 billion in fiscal 2028.
Anthropic has also deposited cash into a restricted account for Broadcom's benefit and could be required to contribute more under certain circumstances. According to the filing, certain payment or performance defaults could make a substantial portion of its lease obligations immediately due while restricting access to the financing facility.