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SpaceX's AI spending unnerves Wall Street despite promises of quick payoff

In addressing Wall Street for the first time since SpaceX's IPO, executives tried to make the case that hefty AI investments are paying off within a year.

  • SpaceX's AI spending increased sixfold to $18.4 billion in Q2.
  • Company's AI spending exceeds analysts' average estimate of $13.22 billion.
  • SpaceX's stock dropped 7.5% after-hours, below initial IPO value.

SpaceX's AI spending unnerves Wall Street despite promises of quick payoff

In addressing Wall Street for the first time since SpaceX's IPO, executives tried to make the case that hefty AI investments are paying off within a year.

  • SpaceX increases AI spending by 80% YoY, despite quick payoff claims.
  • Total capital expenditures reach $18.4 billion, double the quarter's sales.
  • AI investments at loss of $1.26 billion in latest quarter, CEO optimistic about $100B revenue.

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