SpaceX Beats Revenue Estimates as AI Business Surges
SpaceX's third-quarter revenue more than doubled to $14.58 billion, beating Wall Street estimates. Shares rose about 3% in after-hours trading.
- $4.4 billion net income, versus a $1 billion loss a year earlier.
- $7.6 billion in AI revenue, up more than ninefold.
- $19.6 billion in capital spending, with $16.4 billion going to AI.
- 13.6 million Starlink subscribers, above the 12.19 million analysts expected.
Why it matters: SpaceX now earns most of its revenue from AI, chiefly by leasing data-center capacity to Anthropic, Google and Reflection AI. Its spending still far outpaces its earnings.
- Starlink revenue per subscriber fell from $99 in 2023 to $69.
- $413 million net loss remains for the first nine months.
How 20 sources split on this story
Where they split: Outlets differ on whether the quarter shows a durable AI business or spending that earnings cannot yet cover.
Center coverage, 9 sources: The center sees an earnings event shaped by Starlink growth, AI cloud deals and Tesla merger speculation.
Left coverage, 5 sources: The left sees an AI business beating expectations, with Starlink pricing and heavy spending as open risks.
Right coverage, 6 sources: The right sees a blowout quarter, tempered by capital spending, borrowing costs and share unlocks.
What’s next: Investors want Musk to address a possible SpaceX-Tesla merger. Tesla reports results on Wednesday.
- 1.3 billion more shares become available to trade as a lockup period expires.
- November Starship flight will attempt to recover both stages, Musk said.
- Will Musk commit to a timeline for merging SpaceX and Tesla?
- Can AI revenue grow fast enough to cover the capital spending?
- Will Musk's forecast of $500 billion to $1 trillion in recurring revenue hold?
