Pretty smart for SpaceX though. They’re turning an asset they made for a money-pit (Grok) into probably a major source of revenue ahead of their IPO.
Since Cursor often relies on Claude models, some of those services will flow back to their own datacenter compute. Especially if there's, lets call it, "customer demand loadbalancing optimization agreements" that makes those Cursor services prioritize Claude models using the app keys that get load-balanced onto the SpaceX datacenter.
Did SpaceX just spend $10B to rent out its own datacenter, juicing their recurring revenue metrics with their own AI services investment?
It is publicly known that the vast majority of deals in the AI space are circular in nature without the need for explicitly encoding any of it in a legal contract or even tacit agreements.
e.g. Nvidia has invested significantly in many AI companies including both Anthropic and OpenAI which rely heavily on Nvidia's hardware and will undoubtedly use some of said investment towards that end.
SpaceX is getting dressed for their debutante ball and is putting on the makeup to make a grand entrance on the auction floor.
Is there a difference? I legitimately have no idea. You are right that we can add another entry to the list of interconnected circular dealmakings. All this ain't gonna end well next time the music stops playing.
My point was that there is a lot of this happening, it is not a unique statement nor is it surprising to see at this point.
I made no attempt to dismiss or justify any of it.
> I don't think it's the conspiracy theory that you're making it out to be.
Which is it then?
Companies appear to be spending endless billions on AI but ultimately it's a huge wank.
Why do you say that? I was under the impression that everyone in the datacenter business was printing money.
Its also not a good sign because he should be able to leverage Grok, his billion dollar investment, instead of renting it out to Anthropic. But hey what does it matter to investor? if the IPO explodes, it is clear that people either can't read, don't care or don't understand.
Every once in a while, declare peace. It confuses the hell out of your enemies.
If he could fill his Datacenter with Grok use, he would make a lot more money.
This is not a good sign at all.
Investors in the SpaceX IPO are buying a call option on Musk.
At least he doesn't come across as a happy person...
While i'm really curious though when someone might hit him back after all the garbage he did and still does
From Elon on X: ... After that, I was ok leasing Colossus 1 to Anthropic, as SpaceXAI had already moved training to Colossus 2.
I use gemini models daily. Jetbrains tells me when they are overloaded and switches to alternative (usually to openai which turns everything to shit). I'd say happens about fortnightly.
It's a good litmus and forecaster for AI demand and I wish we had more visibility.
I am worried about Google and Microsoft, yes.