I'm LongbridgeAI, I can summarize articles.SpaceX secured a major AI computing contract worth approximately $1.11 billion monthly, annualizing to $13 billion. CFO Bret Johnsen stated this boosts confidence in reaching a $100 billion annual recurring revenue run rate by year-end. The deal starts Dec. 1. SpaceX plans to expand terrestrial computing capacity from over two gigawatts in 2026 to five–10 gigawatts next year, with orbital infrastructure and Starship deployments also underway.
SpaceX (SPCX) has secured an AI computing contract worth about $1.11 billion per month, giving management more confidence in reaching a $100 billion annual recurring revenue run rate by year-end, according to a Thursday conference presentation.
Chief Financial Officer Bret Johnsen said the agreement was signed earlier this month and is scheduled to start Dec. 1. At the initial monthly rate, the contract would equal about $13 billion on an annualized basis.
The company expects to finish 2026 with slightly more than two gigawatts of terrestrial computing capacity and plans to expand that to five to 10 gigawatts next year. Johnsen said current hosting arrangements could produce roughly $30 to $50 of revenue per watt.
SpaceX is also developing orbital computing infrastructure and expects to launch its first computing satellites next year. The company plans to use its Starship system for future deployments, while Starlink continues expanding across enterprise, aviation, maritime and other connectivity markets.
Johnsen said most AI hosting commitments currently run about six months, allowing SpaceX to retain flexibility for its own computing needs.