Google has agreed to pay SpaceX $920 million per month for AI compute capacity, according to CNBC, which reviewed the contract filing. The deal grants Google access to approximately 110,000 NVIDIA GPUs—along with CPUs, memory, and related infrastructure—housed in SpaceX data centers built out following SpaceX’s merger with Elon Musk’s AI company xAI. The arrangement runs from October 2026 through June 2029 at full rate, with a ramp-up period through September; total contract value amounts to roughly $30 billion.
The deal reflects how acutely AI compute demand has outpaced even Google’s own vast internal infrastructure, particularly for its Gemini Enterprise offerings for large business customers. The contract includes a safeguard clause: if SpaceX fails to deliver the agreed GPU capacity by September 30, 2026, Google may cancel or accept a proportional reduction; after December 31, 2026, either party may terminate with 90 days’ notice. For SpaceX, the agreement locks in a substantial recurring revenue stream ahead of its anticipated IPO, and positions the xAI data center assets as a core part of the company’s commercial narrative.