So... An extra $0?
weew
joined 3 years ago
He already got out! Should have stayed
Actually the Starlink division itself is profitable.
The unprofitable part is Twitter and xAI which got merged in right before the IPO.
SpaceX was actually on the path to being quite profitable, but then Musk tried to hide his two biggest money sinks inside it.
AI startups are all so desperate for memory and GPUs that I wouldn't be surprised if a few of them were willing to buy shit that, uh, fell off the back of a truck.
Prior to the IPO, I was absolutely interested in SpaceX stock. Regardless of Musk's antics, they are far and away the most advanced and most successful space launch company in the world.
Where traditional space launch companies like Boeing and ULA are floundering and failing, SpaceX was getting it done, to the point where NASA and the US Military had to move flights originally booked with ULA and hand them to SpaceX because they were the only ones able to get things done on schedule AND is more profitable than any other rocket company thanks to landing and reuse technology.
Then, of course Musk merged Twitter into xAI, merged xAI into SpaceX, then basically called SpaceX an AI company to attract more AI investment hype, and 99% of the stock value is AI hype.
And I have zero interest in SpaceX stock any more.
The funny thing is that even with this massive overspending, AI companies aren't profitable. They need these companies to spend 10x the amount per token, and 10x the number of tokens. Probably 10x the number of customers too.
Burning energy, draining water, spending massive cash so they can lose money on a product that doesn't even do its job. How the hell has the bubble not popped yet...
This isn't seeing into the future. This is just taking a look at the present.
Present #1: AI datacenters cost a fuck ton
Present #2: No customer is willing to pay the costs of AI unless they sell at a loss