Microsoft raises $25 billion in bonds as AI borrowing costs diverge

Microsoft raised $25 billion in its first bond offering since 2017, with its AAA rating helping it borrow at a comparatively low cost. The supplied coverage also notes that the proceeds may support general corporate purposes, not only AI infrastructure.

• Microsoft raised $25 billion in its first bond offering since 2017 and retained its AAA credit rating.· 1 source
• The 10-year portion of Microsoft's bond deal cost 5.6%, while the coverage says the proceeds are not earmarked solely for data centres.· 2 sources
• The centre article contrasts Microsoft's borrowing cost with higher yields cited for SpaceX and CoreWeave.· 1 source