SpaceX-Google Compute Deal Sparks Questions Ahead of IPO

As SpaceX’s reported June 12 initial public offering (IPO) approaches, the company has been securing lucrative artificial intelligence compute deals, though the timing and terms of those agreements are raising concerns, Pras Subramanian reported for Yahoo Finance.

SpaceX has reportedly secured multibillion-dollar AI compute deals ahead of a planned IPO. (Photo: SpaceX X)

Last week, SpaceX said Alphabet’s Google would pay $920 million per month to rent 110,000 Nvidia graphics processing units (GPUs), central processing units (CPUs), memory, and related computing infrastructure from October 2026 through June 2029.

Computing capacity is expected to begin ramping up in September 2026.

The filing followed a previous agreement in which SpaceX reportedly leased graphics processing capacity at its Colossus 1 data center to Anthropic for $1.25 billion per month.

Elon Musk previously folded xAI operations into SpaceX, creating a new division called SpaceXAI to oversee artificial intelligence efforts, including the Grok chatbot and data center operations such as Colossus.

Although these agreements span roughly three years, each reportedly includes a 90-day cancellation clause. Musk also suggested that the Anthropic agreement could be shorter in duration.