Elon Musk Says AI Revenue Will Eclipse the Rest of SpaceX by September. Here’s What Investors Need to Know
Elon Musk just told SpaceX employees that AI will soon out-earn rockets and Starlink combined -- but investors should weigh the bold vision against some serious execution risks.
Overview
Space Exploration Technologies (NASDAQ:SPCX) CEO Elon Musk just told employees that artificial intelligence (AI) will soon out-earn everything else the company does, like launching rockets or beaming broadband internet down from space. His prediction was made during a 30-minute all-hands video released yesterday on X.
Here’s the full quote: "Probably our AI revenue -- not probably, definitely -- our AI revenue will exceed all other SpaceX revenue probably in September, like next month."
Details
In the video, Musk called AI "an extremely important part of SpaceX's future" and laid out a target of 10 gigawatts (GW) of AI computing capacity by the end of next year. He put the value of that capacity at roughly $30 to $50 per watt. By his math, that works out to annual revenue of $300 billion to $500 billion from AI alone by 2028 -- "big numbers," as he puts it.
Source
Originally published at www.fool.com.