Elon Musk’s SpaceX in talks to supply the Pentagon with computing power: Report
Elon Musk’s SpaceX is in talks to provide the U.S. Department of Defense with access to data center capacity worth billions of dollars to run AI models, the Wall Street Journal reported on Friday, citing people familiar with the matter.
Such an agreement would extend the Pentagon’s existing relationship with SpaceX, a key partner for rocket launches and satellite-based communications and missile tracking.
According to the report, SpaceX employees have discussed plans to compete more directly with neocloud firms such as CoreWeave by selling computing capacity to AI customers at lower prices.
