SpaceX has signed a brand new computing deal, this time with Google, forward of its historic IPO. The corporate introduced the acquisition in a regulatory submitting on Friday.
Underneath the phrases of the deal, Google can pay SpaceX $920 million per 30 days from October 2026 to June 2029 for entry to “roughly 110,000 NVIDIA GPUs, CPUs, reminiscence, and different associated parts.”
The deal is comparable in size and scope to the one SpaceX introduced with Anthropic in late Might. As a part of that deal, Anthropic agreed to pay SpaceX $1.25 billion a month via 2029 to hire all obtainable computing from its Colossus 1 knowledge heart close to Memphis, Tennessee. xAI (now a part of SpaceX) was initially constructed for its personal synthetic intelligence efforts.
Google’s deal seems to be paying for about half of the quantity of computing that Anthropic may have entry to on Colossus 1. SpaceX didn’t say particularly which knowledge facilities Google would use. CEO Elon Musk beforehand indicated that the corporate would reserve its Colossus 2 knowledge heart for xAI.
Anthropic had severely restricted computing energy earlier than the cope with SpaceX, and utilization limits had been elevated on the identical day the deal was introduced. Google is in a really totally different place, with some estimates itemizing it because the world’s largest single proprietor of AI computing.
A Google consultant defined in an announcement that the partnership is the results of surprising demand for the corporate’s not too long ago launched AI merchandise. “Google Cloud and SpaceX are long-standing companions,” Google mentioned in an announcement. “It is a short-term, well timed settlement to make sure we have now the bridging capability to fulfill quickly growing buyer demand for our agent platform, Gemini Enterprise, which exceeds our expectations.”
However father or mother firm Alphabet has been growing spending. Alphabet has already dedicated greater than $180 billion in capital spending this yr, and mentioned it expects that to “considerably improve” in 2027. To assist with this, Alphabet not too long ago introduced an $80 billion inventory sale.
Additionally, like Anthropic, our contract with Google features a cancellation clause. Each SpaceX and Google have the choice to terminate the settlement with 90 days’ discover after December 31, 2026. Entry to Google’s knowledge facilities will improve “at a reduction via September,” the submitting mentioned.
“If Google fails to supply entry to the promised quantity of GPUs by September 30, 2026, Google could, after a one-month grace interval, instantly terminate the settlement or settle for the variety of GPUs supplied,” together with a discount in month-to-month charges, it reads.
SpaceX introduced the deal only a week earlier than its inventory is scheduled to start buying and selling on the Nasdaq change. The corporate is searching for to boost about $75 billion at a valuation of about $1.75 trillion, its largest elevate in historical past, in response to paperwork filed with the Securities and Trade Fee.
Google has been a long-time investor in SpaceX. Musk’s firm’s inventory is predicted to be price greater than $100 billion after the IPO. The businesses are additionally reportedly in talks to construct an orbital knowledge heart, a key component of SpaceX’s future plans post-IPO.
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