SpaceX (SPCX) reported revenue up 161% and net income of $4.4 billion, its first quarterly profit. Its AI business, now called SI (Super Intelligence), saw sales rise 835% year over year, driven by compute deals, the acquisition of coding company Cursor and enterprise adoption of the Grok model, and it posted $431 million in operating income. The company rents compute power from its Colossus I cluster, with agreements with Alphabet and Anthropic worth $920 million and $1.2 billion in monthly revenue, respectively. Musk said Colossus II will mainly use Nvidia's Vera Rubin infrastructure, requiring 440,000 Vera Rubin computers for optimal training. Musk thinks SpaceX could reach $500 billion to $1 trillion in Annual Recurring Revenue (ARR) by the end of 2027, while Nvidia CEO Jensen Huang forecast $1 trillion in sales through 2027 from Blackwell and Rubin, and Wall Street expects Nvidia sales of $692 billion next year, a 68% increase. The author views Musk's use of full Vera Rubin computer systems as good news for Nvidia.
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NVDASpaceXElon Muskartificial intelligenceearnings
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▲ Likely positiveNvidia
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.2T |
| Close on 10/23/2026 | 211.00 |
| Change that session | -0.57% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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