US-based PaleBlueDot AI is reportedly in talks with potential lenders, including Brookfield Asset Management, to raise $600 million in private credit. The financing would fund the purchase of advanced chips for the company’s data center in South Korea.
PaleBlueDot intends for the hardware to be used by Xiaohongshu, a major Chinese social media and e-commerce app.
The arrangement reflects a growing trend of US companies setting up operations in third countries to provide Chinese clients with access to high-performance computing while avoiding direct US export controls.