tech
SpaceX generated more revenue as an AI company than a space company
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TL;DR
- SpaceX's AI revenue grew by more than three times to $2.6 billion, mainly from deals to provide compute to other AI companies.
- The AI division lost $1.5 billion this quarter, slightly less than the previous year.
- SpaceX made compute deals with Anthropic and Google, competing with neoclouds like CoreWeave.
- Capital expenditures reached $18.37 billion due to increased AI presence and space development.
- Despite its name, SpaceX expects most of its value to come from AI, including building data centers in space.
- The company has three segments: space ($962 million revenue), AI, and connectivity (Starlink, $4.2 billion revenue).
- Grok, SpaceX's AI model, has fallen behind competitors; thus, SpaceX rented out its data center capacity and is acquiring Cursor.
- SpaceX's overall loss narrowed to $143 million this quarter.
- Costs in the space division rose by $389 million, driven by Starship development, which is crucial for the profitable Starlink business.
- SpaceX launched 20 of its Starlink satellites, with a full deployment of 60 satellites planned.
- SpaceX shares declined after market despite beating analyst estimates.