SpaceX Reports AI Compute Payback Period Under One Year
SpaceX reports its AI compute deployments pay for themselves in less than a year as the company aggressively expands capacity and capital spending.
During its October 20 third-quarter earnings call, Space Exploration Technologies Corp. reported that new compute deployments for its AI business are achieving a payback period of less than one year. The company's CFO stated that pricing is currently tracking slightly above the high end of the $30-$50 per-watt range.
SpaceX ended the third quarter with 1.7 gigawatts of nameplate compute capacity. The company aims to reach 2.5 to 3 gigawatts by the end of the fourth quarter, with a potential expansion to 13 gigawatts total next year. This rapid growth requires substantial capital; third-quarter expenditures reached $19.6 billion, and the company provided fourth-quarter guidance between $35 billion and $40 billion.
While SpaceX reported growth, other AI power stocks declined due to financing concerns. GE Vernova shares fell as much as 9.3% following analyst target cuts and a $9 billion acquisition. Bloom Energy shares dropped 6.3% after the company reported negative free cash flow in the previous quarter.
