GoKawiil(L-R) Google CEO Sundar Pichai speaks with Tesla and SpaceX CEO Elon Musk as they arrive for the inauguration ceremony before Donald Trump is sworn in as the 47th US President in the US Capitol Rotunda in Washington, DC, on January 20, 2025.
Days before a planned IPO that's expected to raise record sums of cash, SpaceX has inked a deal with Google that will bring in $920 million a month by providing AI compute capacity to the search giant.
According to a regulatory filing on Friday, Google will use about 110,000 Nvidia graphics processing units, as well as central processors, memory and other components housed in SpaceX's data centers. The agreement spans from October of this year through June 2029 at the $920 million rate, and with "capacity ramping up through September at a reduced fee."
SpaceX said in the filing that if it fails to "deliver access to the committed amount of GPUs by September 30, 2026," Google can immediately end the agreement, or accept the number of GPUs provided at a reduced fee after a one-month grace period.
After this year, the agreement can be terminated by either party provided they give 90 days' notice.
A Google Cloud spokesperson told CNBC by email that the deal was made "to ensure we have bridge capacity to meet surging customer demand for our agent platform, Gemini Enterprise, which has been even higher than we expected." Google introduced Gemini Enterprise — subscriptions for large businesses — in October.
The Google agreement marks the second massive infrastructure deal announced by SpaceX following its merger in February with xAI, Elon Musk's artificial intelligence company, in a transaction that valued the combined entity at $1.25 trillion. Last month, Anthropic announced a deal to use all of SpaceX's compute capacity at its Colossus 1 data center in Memphis, Tennessee.