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SpaceX\u2019s AI revenue grew more than three times to $2.6 billion from the year before, mostly because of deals that the company made to provide compute to other AI companies, according to SpaceX\u2019s quarterly earnings. The AI division, which the company said in its documents to go public was the source of most of its value, lost $1.5 billion this quarter, slightly less than in the same quarter last year.<\/p>\n<\/div>\n
\u201cWe\u2019re building AI compute capacity at scale faster than anyone else, we believe, and we\u2019re significantly improving our AI models,\u201d Elon Musk said on an investor call.<\/p>\n<\/div>\n
Despite its name, SpaceX said in the documents for its IPO that it expected most of its value to come from AI. SpaceX had the biggest-ever IPO in June. One of the things that the company said it could do better than anyone else was build data centers in space. The company has three segments: space, AI, and \u201cconnectivity,\u201d which is the Starlink internet service. Space had $962 million in revenue this quarter, and SpaceX remained the biggest user of SpaceX rockets. The Starlink service had $4.2 billion in revenue.<\/p>\n<\/div>\n
Grok, SpaceX\u2019s AI model that has been in hot water for undressing women and children without their consent, had fallen far behind other companies in the AI race. So before the IPO, SpaceX rented out the data center capacity it had initially built for itself. The company also agreed to acquire Cursor, providing it with an enterprise AI product. The acquisition has not yet closed, though Musk said on the call they\u2019re \u201cclose to that,\u201d but didn\u2019t want to \u201cjump the gun\u201d on regulatory approval.<\/p>\n<\/div>\n
SpaceX is still losing money, but the loss this quarter narrowed to $143 million dollars. Musk\u2019s grandiose plans \u2014 data centers in space, an addressable user market of more than the US GDP \u2014 don\u2019t just come with a big price tag in AI. The costs of developing technology in its space division also rose by $389 million from the year before, with Starship as the primary driver of spending. Starship is key to Musk\u2019s plan to expand its connectivity business, the only profitable part of the company.<\/p>\n<\/div>\n
Starship has to be able to launch heavier versions of the satellites that make its Starlink internet business profitable. Some of these satellites have already been manufactured, and in today\u2019s documents, SpaceX said it had launched 20 of them. It\u2019s not clear how far away the full deployment \u2014 of 60 satellites at once \u2014 is.<\/p>\n<\/div>\n
Though SpaceX beat analyst estimates, according to Bloomberg<\/em>, its shares declined after market, following an initial pop of enthusiasm.<\/p>\n<\/div>\n