Elon Musk Says SpaceX Is Now a "Super Intelligence" Company
Key PointsSpaceX recently renamed its artificial intelligence business to Super Intelligence.
Elon Musk, CEO of Space Exploration Technologies (SPCX +1.14%), has announced that SpaceX is now a "Super Intelligence" company. The term "artificial intelligence" is being phased out in favor of "super intelligence," a phrase President Donald Trump has been advocating recently. In SpaceX's third-quarter report, the company's AI segment was rebranded as "Super Intelligence," marking a significant shift in the company's priorities.
While SpaceX is known for its rocket-launching services and Starlink satellite communications, Musk has been emphasizing the rising importance of computing power to the business. The third quarter saw a staggering 830% year-over-year growth in the Super Intelligence segment, reaching $7.56 billion. This segment now generates more revenue than the combined revenue of SpaceX's space and connectivity segments.
The connectivity segment saw a 68% increase to $5.25 billion, while the space segment grew revenue 6% to $1.77 billion. Overall, sales for the company reached $14.6 billion in Q3, a 161% increase year-over-year. Musk expects SpaceX to reach $500 billion to $1 trillion in annualized recurring revenue by the end of 2027, with the Super Intelligence segment being the main driver of this growth.
Despite recent market volatility, SpaceX now has a market capitalization of around $2 trillion. While the company is high-risk, the explosive growth in the Super Intelligence segment provides strong justification for its valuation.
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