The credit market may have grown weary of the record-breaking financing activities for data centers, but tech companies are pressing on. Citadel Securities projects that by 2028, tech firms will raise over $500 billion in debt financing through public and private markets to fund chips needed for AI campus construction. Jeff Eason, the chief analyst of the company's investment-grade bond division, stated that this amount will exceed 5% of the total size of the Bloomberg US Investment Grade Corporate Bond Index. He anticipates that most bonds will have shorter maturities of about three to five years, aligning with the lifespan of chips, with some potentially issued in 144A private placement form.
