Debt-hungry AI companies face increased risk as bond yields spike

Spools of electrical wires outside a series of assembly tents during a media tour of the Stargate AI data center in Abilene, Texas, US, on Tuesday, Sept. 23, 2025. Stargate is a collaboration of OpenAI, Oracle and SoftBank, with promotional support from President Donald Trump, to build data centers and other infrastructure for artificial intelligence throughout the US.Kyle Grillot | Bloomberg | Getty ImagesWith Treasury yields climbing this week to their highest levels since 2007, companies reliant on debt are poised to see their borrowing costs rise. That means the AI infrastructure buildout, which has already reached historic levels, is about to get even more expensive. JPMorgan Chase estimated in June that $4.1 trillion in AI-related debt will be issued through 2030, as data center companies and others tied to the artificial intelligence boom race to build up capacity to meet what many industry experts view as insatiable demand for AI services. As borrowers go back to the market, they're now looking at a 10-year Treasury yield that sits near 5.17%, up about 1 percentage point since the start of the year, meaning companies issuing debt are going to have to offer more attractive r...