SpaceX is barely Space and mostly X

SpaceX's newly public earnings revealed that the company's space rocket business contributes only about 10 percent of revenue and did not break a billion dollars last quarter. The majority of the company's revenue and spending now comes from a telecom service and from renting out data center capacity to AI companies, making it primarily a telecom and compute rental business rather than a space company. Building and maintaining data centers is expensive, and the compute rental market is competitive because compute is essentially a commodity where companies compete on cost. The shift highlights how Musk's acquisition of an AI company and expansion into data centers has transformed what was originally conceived as a space exploration business into something fundamentally different.