Google Just Committed to Spending $920 Million a Month at SpaceX. Here's What That Means for This Week's IPO.
Some investors didn't even realize the company is in the artificial intelligence (AI) infrastructure business.
Google Just Committed to Spending $920 Million a Month at SpaceX. Here's What That Means for This Week's IPO.
Overview
If there was any doubt that space-launch company SpaceX also owns and operates a serious artificial intelligence (AI) infrastructure business, Alphabet's (NASDAQ: GOOG) (NASDAQ: GOOGL) Google just wiped that concern away.
SpaceX recently announced that Google will rent AI computing capacity from it for the next three years, for $920 million per month. That's a $30 billion contract, if you're keeping score. That's also almost twice SpaceX's total 2025 top line of $18.7 billion, for perspective.
Details
More than anything, though, this deal injects a last-minute detail into the discussion that some investors weren't expecting, changing the IPO's rhetoric from pessimistic to optimistic.
Source
Originally published at www.fool.com.
