SpaceX’s AI business is beating expectations

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  "company": {
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  "data": {
    "url": "https://techcrunch.com/2026/10/20/spacexs-ai-business-is-beating-expectations/",
    "title": "SpaceX’s AI business is beating expectations",
    "author": "Tim Fernholz",
    "excerpt": "SpaceX’s data centers and Grok agents have been more profitable than investors expected in second quarter of the year, as the company leaves its roots as a space company behind to focus on artificial intelligence, which now makes up 52% of its income. Elon Musk’s deep conglomerate reported on Tuesday $14.6 billion in third-quarter revenue. That number was driven by growth in all segments, but especially it’s renamed “Super Intelligence” business line, which includes the recently-acquired Cursor coding tool, Grok bot, and most importantly, the company’s burgeoning neocloud business, which now boasts 1.7 GW of compute. That number was also boosted by about $1 billion in income related to the recovery of bitcoin prices and an unspecified related-party income that might be attributed to a SpaceX investment in another company. The growing revenue is balanced against total capital expenditures of $19.6 billion, as SpaceX continues to build out a second data center project, Colossus II, and increase investment in Starship, the heavy lift rocket it sees as vital to deploying a new generation of Starlink satellites and developing orbital data centers. This is a developing story. TechCrunch will update.",
    "summary": "SpaceX is building out a second data center project named Colossus II.",
    "planning": true,
    "image_url": "https://techcrunch.com/wp-content/uploads/2026/06/elon-nasdaq-spacex-ipo.jpg?resize=1200,801",
    "confidence": 0.9,
    "published_at": "2026-10-20T20:40:41Z",
    "article_sentence": "The growing revenue is balanced against total capital expenditures of $19.6 billion, as SpaceX continues to build out a second data center project, Colossus II, and increase investment in Starship, the heavy lift rocket it sees as vital to deploying a new generation of Starlink satellites and developing orbital data centers."
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