Google locks in $920 million-a-month AI capacity deal with SpaceX
What's new: The pact covers about 110,000 Nvidia GPUs through June 2029 and gives Google an exit if capacity misses a Sept. 30, 2026 deadline.
Google agreed to pay SpaceX $920 million a month for AI compute capacity as the rocket company pushes toward a planned IPO. A regulatory filing says Google will use roughly 110,000 Nvidia graphics processors, plus CPUs, memory and other hardware housed in SpaceX data centers, with the contract running from October through June 2029. Fees ramp up at a lower level through September. If SpaceX does not provide the committed GPU capacity by Sept. 30, 2026, Google can terminate the deal immediately or accept reduced capacity at a lower price after a one-month grace period. Google said it needs bridge capacity for Gemini Enterprise demand. The agreement follows SpaceX's February merger with xAI and comes after Anthropic struck a separate compute deal with the company.