SpaceX Announces $74 Billion AI Supercomputing Expansion
SpaceX plans to invest $74 billion in supercomputing campuses in Arizona and Texas to expand its artificial intelligence capabilities.
Space Exploration Technologies Corp. announced plans Thursday to invest more than $74 billion in two supercomputing campuses across Texas and Arizona. The expansion aims to scale the company's artificial intelligence capabilities, driven by its AI segment, xAI, which now generates over half of the company's third-quarter revenue through computing power leases to firms including Google and Anthropic.
In Cochise County, Arizona, the company intends to spend roughly $50 billion on a campus that would create 1,000 permanent jobs and 5,500 construction roles. This project currently awaits county approval and faces local opposition. In Texas, the company will invest over $24 billion in a 444-acre facility near its Starbase site in the Rio Grande Valley. The Texas site will utilize a gas-fired power plant to generate its own electricity and has already created 3,000 construction jobs.
The investment occurs amid a shifting political climate in Texas following the election of Governor-elect Gina Hinojosa, who has been critical of data centers. Despite these challenges, SpaceX leadership indicates a commitment to heavy spending on data center build-outs to support its evolving business model.
