Comment by amanaplanacanal
4 days ago
The tiny part of SpaceX that is actually about space, yes. Unfortunate that it has been bolted onto the hulk of Musk's AI fever dreams.
4 days ago
The tiny part of SpaceX that is actually about space, yes. Unfortunate that it has been bolted onto the hulk of Musk's AI fever dreams.
It is still about space. AI and space computers are just the vehicle to fund it all.
Billions of AI capex for a model that’s consistently forgettable and space computers, presumably data centers in space, are funding SpaceX?
Isn’t the opposite?
SpaceX has an extremely profitable launch program and a profitable Starlink. It’s a straightforward would be better off financially without X and X.ai.
Cash: rockets fund AI
Equity: AI funds rockets
Of all the places that money parted from fools winds up, this is not the worst of them.
The graveyards are full of blockchain companies who said something similar.
Not many that launched rockets or anything like that.
Even at $38/share it will still be number 20 on the fortune 500 by marketcap
Too bad for Elon gullibles its at $113/share
but its a great company at $38
Depends a bit on how the AI stuff goes.
right.
instead of having an enterprise AI strategy, they've become a landlord, renting capacity directly to competitors on a month to month basis, competitors who are building their own compute and can cancel this rental contract at any time.
so they'll use that to try to print rosy revenue numbers, except the size of the contract is until 2029 and the month to month payments can be cancelled at any time.
and they only have capacity to rent out because they don't have an enterprise AI strategy, they overspent on GPUs for an audience that never showed up for Grok, it has abysmal usage and its radioactive because it creates CSAM and is based af. It's just outdated Nvidia hardware that they are trying to recoup just a little bit of value from.
and if you believe in space datacenters, I've got a bridge in brooklyn to sell you! actually space datacenters are the 21st century bridge in brooklyn, whoever is selling you about it thinks you are stupid. Elon Musk just wanted the trillionaire print by all accepted metrics, and got that, so he said anything and disclosed it properly, and 4.9% of the shareholders bought that plan because they were greedy hoping for a pop. The pop came. now they're underwater.
Elon Musk doesn't believe the total addressable market of SpaceX's other business lines are that valuable in comparison. 25 trillion TAM for enterprise AI applications, 3 for everything else. ruh roh
Tiny part? Huh? Falcon 9, Dragon, Starlink, Starship. That is a LOT of space.
You should look at the S1 they filed with the SEC. All of their space related stuff including starlink shows a total possible market of 2 trillion, whereas they show AI as over 26 trillion. Basically almost all of their value is AI, not space related activities.