>AI is unprofitabl-
the deal isn't about aiit's buying his excess capacity because his ai sucks
this is more a case of elon buying a shit ton of GPUs and not knowing what to do with them than the profitability of ai
>>108987954>920 milkeep the change
Google out of al companies needing compute
>>108987954>$920 milThat's like a 5 dollar deal
>>108988003>>108988016>monthly
>>108987954>Grok selling excess hardware to its competitors >l-l-look guys!!! It’s profitable!!
>>108988026>12 bils yearly Nothing burger, get lost slop monkey who cant comprehend numbers. https://www.techtimes.com/articles/317839/20260605/nvidia-openai-investment-shrinks-100b-30b-compute-lock-war-continues.htm
>>108987954>we bought GPUs we don't need so we're renting them to Google
>>108987954Ah, just in time to hype next week's IPO.I am sure the deal is genuine and not just part of the investor rug pull.
>>108988026You only think 920 mil is a lot (even if it's done every month ) because you're an insect. For players like this, it's the equivalent of giving $5 to the local homeless bum. Maybe even less.
At google's current market capitalization of $4.5 trillion, 920 million is 0.02%Keep the pocket change
>>108987984and why would Google of all companies need so much compute that they don't already have?
nice, elon will die this year(2026)
>>108988077>so much computeIt's literally nothingYou insects see BIG_NUMBER_ON_A_SCREEN and automatically chimp out like the braindead retards you are, big deals are done in the hundreds of billions, this is nothing
>>108988082kinda seems like you are the one chimping, I'm pretty calm actually
>>108988090You have the brain of an insect
>>108987954how does this even remotely relate to AI profitability? renting GPUs is AI now? if anything it's the opposite, it means more costs, costs are the opposite of revenue and negatively impact profits
>>108988015yeah this is very very strange and I don't know if I should believe it, where does spaceX got the copmputing from?
>>108988146Musk transferred them from Tesla
>>108988146Elon's Trust fund
>>108987954I just gave my mom $920 billion for making tendiesShe just gave me $920 billion for washing up the dishes after I ateWho says tendies aren't profitable?
>>108987984>>108988003>>108988026>>108988050>>108988157>>108988090>>108988105claude is 200$ a month, what the fuck is Elon doing?
>>108988168If you (You) me again with another unrelated gibberist post i'll murder your entire family
>>108988146There's a bunch of seedy market manipulation stuff happening with his companies and SpaceX "bought" xAI in one of the schemes.
>>108987987nope, you fail at basic math.$920m / month for 110k GPUs is exorbitant $11.61/ GPU hour.elon is fleecing google.
>>108987954>google owns lots of spaceX shares>google posts massive Q1 profit based on spacex's massively inflated ipo value>google dilutes their shareholders to get 80 billion cash for AI capex>google starts paying 920 million monthly to spacex>spacex gets more impressive revenue and value goes up even further>elon robs everyone's 401k when spacx ipo in one week.lube up your bussy for the upcoming ASSRAPE. btw meta is also planning to dilute to raise cash KEK
>>108988199>lube up your bussy for the upcoming ASSRAPE.my body is ready
>>108988199This is the most jewish shit I have ever read
>>108988197>elon is fleecing google.trannies will defend google now
>>108987954Doesn't look like it is AI that is profitable.It's the hardware.
>>108987954>AI company gives money to another AI company>news at 11this shit is Enron, isn't it?>>108988199>>google owns lots of spaceX shares>google pumps spaceX stock prices upif google sells the spaceX stock, is that a pump and dump?
>>108987954trying to get spaceX’s profitability positive so it gets included in the S&P. Goog holds a lot of spacex shares.
>>108988303>if google sells the spaceX stock, is that a pump and dump?yes, that's why this is illegal and google's investment is locked up
>>108988336s&p is free float weighted. you cannot squeeze it.
>>108988336>Do an IPO.>Sell, like, one share of stock to the most ardent possible Elon Musk-fan asset manager at a $2 trillion valuation>Sell perhaps tens of billions of dollars of stock to ardent Elon Musk-fan retail investors, whoever’s willing to buy at that $2 trillion valuation.>Lock up all the rest of the stock so that no one can sell.>Get in all the indexes, because you are huge.>Something like 24% of the stock of the average member of the S&P 500 index is held by index funds. At a $2 trillion valuation, that’s like $500 billion of stock.>Sell $500 billion of stock to index funds at that $2 trillion valuation. They can’t say no!
>>108988342It’s still a lot of forced buying if it were to be included in that index
Told you; Nvidia is selling the shovels and musk the acces to the mines. Anthropic is already paying $2 billions per month for compute power.
He's a nazi from apartheid colonialism, why is he giving his computers away to the jews instead of running his own AI on them?
>>108987984This. It isn't actually a good thing.
>>108988634>Anthropic is already paying $2 billions per month for compute power.no its not, thats the joke, they are going to pay that in the future, they are laundering the numbers really hard
>>108988634They're selling shovels to the shovel miners who will mine more shovels in the mine to sell to the mine owner who will sell those shovels to shovel investors who will shovel their profits (shovels) back into the mineshaft so we can all finally get back to shovellin'.
>>108987954Looking for gold is unprofitable. Triggering hype and selling the shovels, that's how you make the real money.
>>108987954it's a bull trap for scamming the retailoyim
>>108988077>so much compute920 million a month is a medium sized AWS instance.
Reminder that the world wide web and smartphones are still bubbles. The market can stay irrational than you can stay solvent
>>108987954Spacex? The space company? Why is a space company selling AI compute time?There's no legitimate reason for that.
>>108987954How does this make sense? This amounts to $8364 per GPU per month. These GPUs retail for about $50k. They're adding infrastructure, logistic, maintenance and energy fees, but it still seems off. If Google is really strapped for compute (it really doesn't seem to be) given the current shortages, I could kind of see it as believable in the very short term, but this makes zero long term sense.
>>108989181Why has a space company bought most cybertrucks produced, and why has it bought Twitter?
I will buy SpaceX when it craters post IPO. You have to be retarded to see AI or not, SpaceX is going to be huge. I will probably plow my entire commission for the year into it, maybe even Anthropic because they both already have embedded themselves firmly in the DoD.
>>108987954Another aiGOD victorySnailcat Luddites lost
>>108989206Speaking of their IPO, Google owns 8% of SpaceX, so they have a vested interest in making sure the IPO goes off very well. This announcement might produce enough increased investor confidence to increase the value of Google's 8% of the company to essentially pay for the entire amount they're paying SpaceX for compute.
>>108989479Ok, now I (>>108989196) get how it makes sense. Thank you.
>>108987954-e.
>>108987954>American AI companies passing money around to make the GDP go up like a human centipede>Goys look how much money we're making. Buy our stonk!
>>108987954Tech companies buying shit from other tech companies to keep the inflation cycle going in perpetuity was called out months ago. It's all bullshit circular money. This just means the Grift from, OpenAI, Nvidia, Microsoft, Oracle, Coreweave, AMD, Softbank, xAI, etc (and now spaceX) continue to pass in a circle gaining no profit. It's the Epstein class attempt to make customers and company profitability meaningless to further expand top-down control of the world. However, it still requires actual customers eventually, which doesn't seem to be happening.
Ughgg so even less free messages on Grok?!?!
>>108987954>compute is usefulwaow life chaning
>>108987984But Grok is better than Gemini. Gemini just makes stuff up for any kind of research tasks.
>>108989520I would never buy SpaceX for AI bullshit, but you have got to be retarded to believe that SpaceX isn't the future. They are the only reusable rocket company that works, they have Starlink, Starshield for the DoD, etc. etc. They could be worth a bazillion dollars from just launching NRO satellites into space, like they've been doing for years now. SpaceX also doesn't need to get customers, their primary customer is the federal government.
Google pays more to Apple to keep the default search engine.
see, AI is profitable as long as you rent the server space out instead of using it to run AIsnailcat here, youre dumb, and we won.
>>108987954ultimately, all of it is financed by advertisers, who in turn are financed by consoomersanother theory is that it's circularly financed by stock deals and it's a HUGE ponzi scheme
AI bubble is real
>>108989196>If Google is really strapped for compute (it really doesn't seem to be) given the current shortages, I could kind of see it as believable in the very short termThe fact that it's a lease would seem to indicate a short-term move, whether >>108989479 is true or not.And the question isn't whether google is "strapped for compute" the question would be whether google's use of SpaceX compute would yield a positive ROI for them. Doesn't matter what the margin is.
>>108988050i gave the local hobo $1 and still hurt a bit
>>108992789>posting accounting dodges in the human corporate centipede as evidence of success
Good explanation from somebody else:> This is a masterful piece of financial engineering by Google and SpaceX.> Google purchased 10% of SpaceX over a decade ago. After dilution they probably own around 5%.> SpaceX is valued at a whopping 94x revenue. This deal increases SpaceX's revenue by $11 billion per year. If SpaceX maintains this revenue multiplier, then this single deal boosts SpaceX's valuation by 94 x 11 billion = $1 trillion dollars. Google owns 5% of SpaceX, so they make 50 billion dollars. Google spends 10 billion and makes 50 billion, $40 billion profit.> The even better part is that because of this deal, SpaceX is now profitable. The S&P requires companies to demonstrate 12 months of profits before they can enter the S&P 500 index. SpaceX lobbied to have this profitability requirement removed, but S&P said no and refused to rewrite the rules.> Now with this incredible deal, SpaceX is now GAAP profitable under the existing rules, and they get to join the index next year without a rule change.> Truly a brilliant deal for everyone involved.
>>108987984this, and I honestly think if they want to salvage whatever's left of grok, they should just go all in on making grok the best translator rather than an all purpose llm
>>108993852The fact that Google owns around 6% (seems to be 6% rather than 8%) of SpaceX does give it in an incentive to do this, so knowing what >>108989479 said, it makes sense. If Google owns $122 billion worth of SpaceX, if that marketing stunt makes SpaceX valuation move up a bit, they stand to get free compute + free additional return on their investment. Not smart enough, and I don't have enough info to calculate exactly what it would amount to, but looked at through that lens, it makes sense to me now.
>>108990876>But Grok is better than GeminiTrue in my experience.However, Google has lots of data for training and a very high demand for their inference (response quality is not the only factor in demand, you should know this).
>>108993953It should make sense either way. If you think the google's partial ownership of SpaceX is the ONLY way this makes sense, you are failing to assess the possibilities correctly.
>>108994183I might, but as a counterargument, it doesn't affect me one way or the other. I'm here wondering how to buy 64gb DDR5, I have my own problems.
>>108993953>The fact that Google owns around 6% (seems to be 6% rather than 8%) of SpaceX does give it in an incentive to do this,??google has no incentive to commit securities fraud
>Google and SpaceX have $1 billion from other revenue streams>SpaceX spends $1 billion building a lot of compute to support AI>SpaceX can't actually utilize the compute they bought, so they rent it out instead>Google pays $1 billion to SpaceX to rent compute>Google now has $0 but a lot of rented compute>SpaceX now has $1 billion and the compute infrastructurethis shows that computing is profitable, not that AI is profitable
>>108993928SpaceX is going to be a banger...just not within the first 6 months. Literally the infrastructure to colonize space. Plus, muh DoD.
>>108987954
>>108987954You've invested in AI companies, right?
>>108988195>having a melty in a ai thread
>>108987954At 920 million a month it'd take them only 135 years before they would start making profits (only if they reduce all operating costs to $0)
