[jsnell]

Oh, if that was your objection, why did you identify the issue as "But it is not revenue for SpaceX, which is the error OP made"?

> A quick peek at their S-1 filing shows a $5B annual loss last year. Unless SpaceX is selling compute to Google at a 50% margin (unlikely but possible), they’re not going to turn a profit because of this deal. Any profit that does result will be small.

The cost of AI data centers is almost entirely the capex (10% opex, 90% depreciation), so the costs aren't meaningfully affected by whether the DC is idle or operating at full load. They're renting their DCs to Anthropic and Google for a combined $25B/year. The loss of the AI division is about $2.5B/quarter. The math is pretty obvious.

> Google’s equity investment and P/E multipliers are irrelevant and have no bearing on SpaceX’s profitability.

Indeed. But the OP did not claim that either.

[otterley]

> why did you identify the issue as "But it is not revenue for SpaceX, which is the error OP made"?

It was an error by implication. They responded with something that appeared to disagree when I responded that any profit SpaceX earns under GAAP solely depends on the revenues and expenses, and is not dependent on Google’s investment.

> The cost of AI data centers is almost entirely the capex (10% opex, 90% depreciation)

The operating costs might not vary much, but these boxes are not cheap to power, house, and cool. Not sure about the 10% opex claim, but am happy to see real world numbers.