Google Pays SpaceX $920M Monthly For GPUs, fool.com Reports
Alphabet’s Google has begun paying Space Exploration Technologies $920 million a month under a compute-rental contract running from October 2026 through June 2029, according to fool.com. The agreement grants Google access to roughly 110,000 Nvidia GPUs.
What the Compute Deal Yields Per Share
SpaceX has about 13.2 billion shares outstanding. At the contract’s monthly rate of $920 million, Google will pay the space company approximately $11 billion a year and roughly $30 billion over the full 33-month term, fool.com reported. That breaks down to about $0.07 in sales per share each month, $0.83 in sales per share annually, and $2.27 in sales per share across the entire duration.
SpaceX held a market capitalization of $2.2 trillion as of Oct. 12, making an annual intake of $11 billion a small figure by comparison, according to fool.com. SpaceX reported $20.7 billion in revenue over the trailing 12 months. This single compute agreement could expand yearly revenue by over 50 percent.
Cancellation Clauses Mean Compute-Rental Income Is Not Guaranteed
The agreements carry specific conditions. Both the Google contract and a separate deal with Anthropic for up to $84.5 billion through May 2029 include 90-day mutual cancellation clauses, as reported by fool.com. These terms allow either party to walk away with 90 days of notice following an initial period, meaning investors cannot treat the compute-rental income as guaranteed long-term streams.
Even with the cancellation provisions in place, the contracts point toward the artificial intelligence segment establishing a profitable foothold within SpaceX operations, helping support the stock’s valuation, according to fool.com. Shares of SpaceX traded at $152.16, down 2.80 percent, with a market capitalization of $2.1 trillion calculated using publicly traded shares.