Elon Musk just pulled off another power move. SpaceX announced a deal with Google on Friday that will see the search giant paying $920 million per month for AI compute access through June 2029. That's $11 billion annually.
The timing is strategic. SpaceX's IPO hits the Nasdaq next week with a reported $75 billion fundraising target and a $1.75 trillion valuation. Musk is securing major deals right before the company goes public.
Google gets access to roughly 110,000 NVIDIA GPUs, CPUs, memory, and related components under the agreement, which ramps up through September at a reduced rate. A Google representative said the deal responds to "unexpected demand" for its new AI products and Gemini Enterprise platform.
This deal mirrors another contract SpaceX closed with Anthropic in late May—a $1.25 billion monthly agreement through 2029. Google's deal covers roughly half the compute Anthropic secured, showing where Musk's leverage sits in the AI market.
Both deals include exit clauses. SpaceX and Google can each terminate with 90 days notice after December 31, 2026, giving Google an escape route if the terms no longer work. SpaceX keeps the cash regardless.
Google's parent company Alphabet is spending heavily on capital, with over $180 billion committed this year and more promised for 2027. An $80 billion equity sale helped fund that push, but apparently it was not sufficient.
Musk's data center strategy is direct: build infrastructure, monetize it, and time major announcements around shareholder events. The SpaceX IPO is shaping up to be a major moment in tech—and each deal closure before the listing advances that narrative.
