Musk raises AI alarm as SpaceX borrows $40 billion for AI chips

Elon Musk said on Sunday, October 25, 2026, that SpaceX completed $40 billion in debt financing to buy Nvidia graphics chips, describing most of it as callable debt the company can repay early. The chips the financing is meant to purchase are due in the first and second quarters of 2027, while loan terms, banks and interest rates were not disclosed; whether lenders had agreed remained uncertain. Musk said SpaceX’s investment-grade status and revenue from Starlink and rocket launches helped it raise funds as credit markets have tightened for companies lacking substantial revenue outside AI data centers. He said more than 200 neoclouds, firms that rent AI computing capacity, face consolidation.