**SpaceX Invests Heavily in AI Computing**
On August 4, during its first earnings call as a publicly traded company, SpaceX reported a significant investment of $15.8 billion in AI computing during Q2 2023, representing 86% of its total capital expenditures of $18.4 billion. CEO Elon Musk announced that SpaceX has committed to exclusively using Nvidia hardware for its AI infrastructure, aiming for 2 gigawatts of computing capacity by the end of 2026 and potentially closer to 10 gigawatts by the end of 2027.
SpaceX ended June 2023 with 1.4 gigawatts of installed computing capacity, an increase from 0.4 gigawatts a year earlier. Musk indicated that contracts for AI computing involve a substantial commitment, detailing agreements for 325,000 Nvidia GPUs worth $1.25 billion monthly through May 2029, and an additional 110,000 GPUs at $920 million monthly through June 2029. However, SpaceX has not filed any official contracts with Nvidia, raising questions about the implications of such an exclusive relationship amidst Nvidia’s current supply constraints.
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