SpaceX on Friday announced a multi-year cloud computing agreement with Alphabet’s Google, securing significant computing capacity as the company prepares for its highly anticipated U.S. initial public offering next week.
Visit newssport.cv for more information.
Under the contract, Google will pay SpaceX $920 million monthly from October 2026 through June 2029, with a reduced fee for capacity ramping up through September, according to a regulatory filing.
The computing resources include around 110,000 Nvidia GPUs, CPUs, memory and other components. The deal further bolsters SpaceX’s AI credentials, following a previous agreement with Anthropic, which secured access to SpaceX’s Colossus 1 facility in Memphis, Tennessee.
The facility houses over 220,000 Nvidia processors, providing the Claude chatbot maker with 300 megawatts of new capacity within a month.
S&P Rejects Rule Change, Keeps Strict Listing Criteria, Delaying SpaceX Entry Despite $1.75 Trillion IPO PlansOn an annual basis, SpaceX’s compute agreements with Google and Anthropic are worth roughly $26 billion combined. If SpaceX fails to deliver the agreed GPU capacity by September 30, Google may terminate the agreement or accept partial capacity with a pro-rata fee reduction.
After December 31, either party can terminate with 90 days’ notice. Google retains ownership and intellectual property rights over its content, AI models and associated data.
Assuming the contracts run their full term, SpaceX’s disclosed compute-capacity agreements with both companies are valued at over $70 billion in aggregate, highlighting the company’s growing role in cloud computing and AI infrastructure.