ByteDance secures $29.6 billion loan reportedly for overseas AI projects

ByteDance secured a $29.6 billion loan from nearly 30 banks as it increases AI spending. Lender demand allowed ByteDance to raise the facility from an initial $20 billion target. Banks from China, the United States, Europe, and Singapore participated. Citigroup and JPMorgan coordinated the loan. Chinese banks subscribed to more than 60% of the total. The loan has a three-year term. It can be extended by two years. ByteDance reportedly told lenders that the loan was for general corporate purposes. Reuters sources said it would mainly fund overseas AI projects, including data center capacity in Southeast Asia. One source said an unsecured loan of that size was very rare. A January 2025 report said ByteDance planned to spend up to $12 billion on chips and overseas infrastructure. ByteDance disputed those figures. Beijing is tightening its AI oversight. In July, ByteDance removed customizable agents from Doubao ahead of new restrictions on humanlike AI services. Chinese officials also discussed limiting overseas access to advanced domestic AI models.