SpaceX locks in $40B GPU financing deal with Apollo
News Source
β’Mon, 26 Oct 2026 16:46:36 +0000
π° What Happened
SpaceX has locked in about $40 billion to buy AI chips and data center gear. A fund run by Apollo Global Management will buy the hardware and lease it to SpaceX. SpaceX calls it the largest committed GPU financing ever.
The leases run about five years and start when each batch of equipment arrives. SpaceX expects the deal to close by the end of this year, with leases beginning in the first half of 2027.
π The Backstory
SpaceX is no longer just a rocket company. It runs the Grok chatbot, the Cursor coding tool and cloud services. Its AI unit had a huge third quarter, and chips plus buildings for AI cost billions.
Instead of borrowing cash, SpaceX will rent the hardware. The company says it earns its money back in under a year on these AI investments. Apollo will supply Nvidia's next-generation chips, called Vera Rubin.
π― Why It Matters
AI is now a race to buy chips, and even rocket companies are lining up billions for it. That spending shapes prices and power use for everyone.
SpaceX has locked in about $40 billion to buy AI chips and data center gear. A fund run by Apollo Global Management will buy the hardware and lease it to SpaceX. SpaceX calls it the largest committed GPU financing ever.
The leases run about five years and start when each batch of equipment arrives. SpaceX expects the deal to close by the end of this year, with leases beginning in the first half of 2027.
SpaceX is no longer just a rocket company. It runs the Grok chatbot, the Cursor coding tool and cloud services. Its AI unit had a huge third quarter, and chips plus buildings for AI cost billions.
Instead of borrowing cash, SpaceX will rent the hardware. The company says it earns its money back in under a year on these AI investments. Apollo will supply Nvidia's next-generation chips, called Vera Rubin.
AI is now a race to buy chips, and even rocket companies are lining up billions for it. That spending shapes prices and power use for everyone.