Musk: SpaceX AI revenue to top rockets and Starlink by September

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Musk: SpaceX AI revenue to top rockets and Starlink by September

SpaceX just reframed itself as an AI company, and China's agent-memory race collected another big check.

Musk told employees in a company video that AI revenue "will exceed all other SpaceX revenue probably in September," with AI to make up 99% of SpaceX's value within five years. In a roughly 30-minute all-hands address posted publicly on Tuesday, Musk said the crossover with rockets, spacecraft, and Starlink comes "probably next month" and that AI "will significantly exceed" every other business line in the fourth quarter. He framed the shift as existential: "AI has become an extremely important part of SpaceX's future."

The numbers back the rhetoric. SpaceX reported second-quarter revenue of $7.8 billion, up 92% year over year, with the AI segment surging 247% to $2.6 billion — already ahead of the $962 million space segment and closing on Starlink's $4.3 billion in connectivity revenue. The company, which bought xAI earlier this year and now rents GPU capacity to labs like Anthropic and Google, is racing to bring 10 gigawatts of AI compute online by the end of 2027, up from 1.4 GW today. At Musk's claimed $30–50 of value per watt, that's a $300 billion to $500 billion annual revenue run rate, plus the Terafab chip plant it's building with Tesla in Texas and a planned constellation of a million "Starmind" AI satellites.

The claim is audacious and testable: SpaceX's first earnings as a public company (it IPO'd in June, and the stock has slid roughly 17% since) will show within a quarter whether the September crossover actually happened. Morgan Stanley, which rates the stock Overweight with a $300 target, argues investors are underpricing exactly this AI business. We covered SpaceXAI's agent-app push yesterday — SpaceXAI launches Grok Bot, a cross-platform AI agent app.


MemoraX AI, the Shenzhen startup founded by former Huawei decision-intelligence chief expert Hao Jianye, closed its third round in under six months — a seed++ raise of hundreds of millions of yuan. The round was co-led by Shangshi Capital, Haitang Capital, and Ren'ai Capital, with earlier backers adding more. Hao, who left Huawei late last year after running its decision-reasoning and LLM algorithm labs, founded MemoraX in March and has raised seed (April), seed+ (May), and now seed++ rounds as investors pile into agent memory.

The pitch is that memory should live inside the model rather than in bolt-on vector databases. MemoraX says its agentic-reinforcement-learning approach embeds memory directly into model weights, claiming a roughly 30% lead over second place on the LoCoMo-Refined text-memory benchmark and 400x training-efficiency gains, and it has signed a strategic partnership with Huawei Cloud. The category is becoming its own funding lane: third-party estimates put the global agentic-AI orchestration and memory market at about 43.9 billion yuan in 2027, growing to roughly 199.2 billion yuan by 2030 — a 35% compound annual pace.

What to watch: SpaceX's Q3 numbers will show whether the September revenue crossover actually lands.

Is SpaceX really an AI company now, or a launch company with an AI business bolted on? Tell us in the comments.

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