Big ticket tech deals needed to keep pace with AI growth boom, financial leaders say

[HONG KONG] Tech companies will need to deliver more big ticket fundraisings deals to help meet the enormous demand for capital required by a growth boom in the AI industry, global financial leaders said on Tuesday (Nov 3).

Tech stocks globally have faced pressure in recent weeks as growing concerns about AI spending trigger a new wave of selloffs, with combined spending set to exceed US$730 billion this year, up from about US$700 billion.

Most of the major tech companies were expected to raise more capital to keep up with the enormous likely demand from the AI industry’s growth, said Jon Gray, president of Blackstone, which is an active investor in AI infrastructure.

“Now you’re in an environment where the demand’s running well ahead of supply,” Gray said at an investment gathering in Hong Kong, citing “pretty extraordinary” demand for computing power.

“So that gives me a lot of comfort,” he added. “Meta and Google and Oracle raising equity ... SpaceX going public, Anthropic going public,” Gray said.

“On top of it ... the data centres, the energy needs are enormous.”

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Strong companies with ‘good stories’

Despite some AI-related market upheavals, strong companies with “good stories” would still be able to raise capital, though the industry’s strong growth could create volatility for investors, said Goldman Sachs chief executive David Solomon.

“But things will go wrong too, and we’ll get things wrong,” he added at the event, the Hong Kong Monetary Authority’s Global Financial Leaders’ Investment Summit.

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“Investors will find situations where they pick wrong, where they lose money ... It’s important to have a balanced, diversified view.”

Morgan Stanley chief executive Ted Pick flagged emerging early signs of US markets edging close to a correction, with a majority of stocks in major indices off nearly 10 per cent.

The latest test of investor appetite is a sale of 6 billion euros (US$6.7 billion) in bonds on Monday by Google parent Alphabet.

Asia-Pacific tech fundraising more than tripled

Fundraising by Asia-Pacific tech companies more than tripled to US$125.8 billion in the first three quarters of 2026 from US$36 billion a year earlier.

The growth was driven by a wave of semiconductor and AI-related deals, such as Chinese chipmakers CXMT’s US$9.8-billion IPO and Enflame Technology’s US$910.6-million listing, LSEG data shows.

Alphabet, Amazon, Microsoft and Meta have signalled that spending on AI will not slow.

In ‌one of the largest debt deals tied to the AI buildout, Blackstone agreed last week to provide financing of US$63 ​billion with Bank of America, Citi and Morgan Stanley to buy Broadcom’s AI chips and networking gear for Anthropic.

The rising cost of capital and some of today’s scepticism will slow the pace, however, Gray added.

“But the overall trend is towards greater investment and therefore more needs for multiple forms of capital.”

Emanuel Roman, CEO of asset manager PIMCO, said AI financing deals are attractive, with more coming for the firm. REUTERS