Last week, SpaceX (NASDAQ: SPCX) disclosed a new cloud service agreement with Alphabet’s (NASDAQ: GOOGL) (NASDAQ: GOOG) Google through an amendment to its Form S-1.
Demonstrating an ability to monetize artificial intelligence (AI) infrastructure by supplying a hyperscaler marks an important expansion of SpaceX beyond rockets and satellites
With a total contract value of nearly $30 billion, did SpaceX stock just become a no-brainer buy with its initial public offering (IPO) looming on June 12? Read on to find out. What are the key terms of SpaceX’s new deal with Google?
Per the agreement, SpaceX will supply Google with a cluster of 110,000 Nvidia GPUs in combination with associated hardware, including CPUs and memory solutions. Google will pay SpaceX $920 million per month between October 2026 and June 2029. Capacity will ramp up through September, and if SpaceX is unable to meet that delivery target, then Google may terminate the deal after a one-month grace period or accept a reduced allocation of chips with a corresponding fee cut.