Google will pay SpaceX $920M per month for compute (techcrunch.com)

SpaceX has announced a significant compute deal with Google, where the tech giant will pay $920 million per month from October 2026 through June 2029 for access to approximately 110,000 NVIDIA GPUs, CPUs, and related components. This agreement, disclosed in a regulatory filing, mirrors a previous deal SpaceX made with Anthropic, underscoring the increasing demand for AI compute resources. While Google will only be utilizing about half the compute capacity compared to Anthropic, it reinforces its position as a major player in the AI landscape, especially as it launches and scales its Gemini Enterprise platform to meet unexpected consumer demand. The significance of this deal extends beyond immediate capacity needs; it highlights the intensifying competition in AI infrastructure and reflects the broader trends of massive capital expenditure within the tech industry. With Alphabet planning to significantly ramp up its investments after its IPO, alongside the potential for orbital data centers in collaboration with SpaceX, this partnership could set the stage for transformative advancements in AI capabilities. Moreover, the flexible cancellation clause allows both companies to adapt to changing demands, ensuring they can remain agile in a rapidly evolving market.