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AI Data Center Debt Reaches $500B by August 2026 as Lenders Tighten Terms
According to Morgan Stanley and JPMorgan, by August 2026, AI-related debt issuance reached nearly $500 billion, accounting for approximately 20% of higher-rated US corporate bond issuance compared to just 1% in 2024. Lenders are pulling back from riskier projects and moving toward safer bets backed by major cloud providers. Yields on new data center deals are climbing: a Meta-backed project in El Paso priced at 7.53% in July 2026, up nearly a full percentage point from an earlier similar Meta de
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