Moody's flags hidden data-centre liabilities in Big Tech financing
Moody's warns that current US accounting rules may hide tens of billions in data-centre liabilities for Big Tech by allowing SPV-backed structures and renewal guarantees to stay off balance sheets; lease renewals and residual value guarantees may not be fully recorded unless deemed probable or reasonably certain. Meta and Oracle are among users; Meta's Hyperion facility via Beignet Investor involves a four-year lease with renewal options up to 20 years and RVG guarantees up to $28bn not recorded as of end-2025. Moody's would adjust debt to reflect likely renewal periods or RVG triggers, which could affect credit ratings and access to funding for AI data centres.