While the credit market may already be content with the record-breaking borrowing scale in data centers, tech companies continue to push forward with related financing. Citadel Securities predicts that by 2028, over $500 billion in additional debt will be issued in public and private markets to fund chip projects in AI parks. The company's analysts expect that most of the debt issued will be short-term, with maturities of three to five years, to match the lifespan of chips, and some may take the form of 144A private placements. This is expected to become one of the largest new areas in investment-grade credit, and the increase in supply could reshape investment portfolios in the investment-grade credit sector.
