SpaceX inks $920 million-per-month compute deal with Google, reshaping data-center revenue outlook

SpaceX just locked in a big deal with Google, agreeing to provide huge AI computing power—about $920 million every month—from October 2026 through June 2029. Reuters says the contract includes around 110,000 Nvidia GPUs, plus all the CPUs, memory, and other components needed for heavy AI work. But SpaceX isn’t dumping all those GPUs on Google’s doorstep right away. They’re rolling them out in phases. Google gets a break on the monthly payments until SpaceX sets up more server racks, and that buffer lasts until the end of September 2027.

If SpaceX can’t hit the 110,000-GPU mark by then (with a one-month grace period on top), Google can either pull out of the deal or ask for a discount based on whatever GPUs SpaceX has delivered. Both companies can also walk away from the agreement after December 31, 2027, as long as they give a 90-day heads-up. This deal really signals how aggressively SpaceX is moving into the data center business and focusing on building out AI infrastructure.

Earlier in May, Anthropic secured access to the “Colossus 1” data center that SpaceX spun up at lightning speed. That facility runs a mix of GPU models—Nvidia H100, H200, and GB200 chips. Right now, customers mostly use the mix for inference jobs, while SpaceX works on building clusters with matching hardware for training next-gen AI models.

Add it all up—deals with Google and Anthropic—and there’s a big jump in revenue on the horizon for SpaceX. Reuters thinks these deals could bring in more than $25 billion a year, which is a step up from SpaceX’s combined revenue (under $20 billion in 2025) from Starlink, rocket launches, and AI so far. Industry watchers say just these new compute contracts are worth tens of billions and play a major role in SpaceX’s plan to build a sky-high valuation and maybe go public in a big way.

And SpaceX isn’t keeping its ambitions earthbound. They picked up xAI earlier this year and have told the FCC about plans for orbital data centers—think giant floating server farms circling the planet. Google is said to be chatting with SpaceX about using these future orbital facilities, though that’s separate from this current cloud computing agreement. SpaceX isn’t sharing anything beyond what’s in public filings, and Google hasn’t responded yet. Reuters broke the story about the deal.