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SpaceX Returns to Profit as AI Business Drives Over Half of Third-Quarter Income

SpaceX reported $14.6 billion in third-quarter revenue, with artificial intelligence now accounting for 52% of its income as the company shifts focus from space toward AI.

Its renamed Super Intelligence segment generated $7.5 billion in revenue from the Cursor coding tool, Grok agents and a growing neocloud business with 1.7 GW of compute. The unit posted $431 million in profit, a figure reduced by $1.2 billion in one-time stock compensation tied to the Cursor acquisition. Overall, SpaceX swung to $4.4 billion in net income from a $1 billion loss a year earlier, though it remains $413 million in the red for the first nine months.

Capital expenditure reached $19.6 billion as SpaceX builds its Colossus II data center and invests in Starship. CFO Bret Johnsen said fourth-quarter spending would reach $35 billion to $40 billion and forecast first-quarter 2027 revenue of $33 billion to $37 billion.

CEO Elon Musk said power, cooling and infrastructure, rather than chips, are the main constraints on deploying superintelligence, and that SpaceX engineers are tackling the problem, including casting turbine components in-house. He predicted annual recurring revenue of $500 billion to $1 trillion by the end of 2027 and said AI agents would drive Starlink demand, with subscribers reaching 13.6 million.

James Dargan
About the author
James Dargan

James Dargan is a writer and researcher at The AI Insider. His focus is on the AI startup ecosystem and he writes articles on the space that have a tone accessible to the average reader.

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