CONSENT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS

We consent  to the  reference to  our firm under the  caption  "Experts"  and to
the use of our  reports  dated  September  24, 1999 and  February 8, 2000,  with
respect to the  consolidated  balance sheet of ATEL  Financial  Corporation  and
Subsidiary at July 31, 1999, and the balance sheets of ATEL Equipment Fund VIII,
LLC as of December  31, 1999 and 1998,  and the  related  statements  of income,
changes in members' capital and cash flows for the year ended December 31, 1999,
and the related statements of changes in members' capital and cash flows for the
period from July 31, 1998 (inception)  through December 31, 1998,  respectively,
included  in the  Supplement  dated  February  29,  2000  to  the   Registration
Statement  (Form S-1 No.  333-62477) and the related  Prospectus of ATEL Capital
Equipment Fund VIII, LLC for the  registration of 15,000,000  limited  liability
company units.




April 6, 2000
San Francisco, California