The article compares Nvidia (NVDA) and SpaceX (SPCX) as two different AI investments: Nvidia, valued at about $5.5 trillion, is a GPU hardware play, while SpaceX, valued at about $2 trillion, is an application play through xAI and its Grok models. On its Q2 call, SpaceX CEO Elon Musk said the company will build exclusively on Nvidia's Vera Rubin architecture, which the article says cuts inference costs 10-fold and training costs fourfold versus Blackwell GPUs. xAI's revenue rose 213% in Q2, but the author sees it as riskier than Nvidia, whose revenue doubled in Q2. Analysts expect about $412 billion of Nvidia revenue this year versus about $45 billion for SpaceX, yet Nvidia is valued at only about 2.5 times SpaceX, so the author concludes Nvidia is the cheaper and better AI pick.
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