Nvidia-backed AI cloud provider Lambda is seeking $917 million in the leveraged loan market to finance AI chip purchases, using a GPU-backed loan structure tied to rights linked to the hardware so it can expand compute capacity. The fundraising highlights how fast-growing neoclouds, which rent GPU power and AI infrastructure to companies and developers, are increasingly turning to asset-linked debt as the cost of AI buildouts rises. Earlier reporting described Lambda as having closed a roughly $1 billion credit facility arranged by J.P. Morgan, while Bloomberg's latest account frames the transaction as a $917 million leveraged loan raise. Lambda has previously used Nvidia-chip-backed borrowing and a February 2025 Series D round to fund expansion.