Google, one of the most powerful computing companies on the planet, is renting AI power from Elon Musk’s SpaceX at a staggering $920 million per month.

SpaceX confirmed the deal in a regulatory filing on Friday.

The Deal 

Starting in October 2026 and running through June 2029, Google will pay SpaceX for access to roughly 110,000 NVIDIA GPUs, along with CPUs, memory, and supporting hardware. 

That’s a massive chunk of computing power, enough to run some of the most demanding AI workloads in the world.

But here’s the twist. Google doesn’t exactly have a shortage of computers. In fact, some estimates name it as the world’s largest single owner of AI compute. 

So why rent from SpaceX? There is high demand. 

Surging Demand

Google’s own AI products surprised even the company. 

In a statement, a Google representative said the deal was driven by unexpectedly high demand for Gemini Enterprise, its agent platform for business users. 

“This is a short-term, timely agreement to ensure we have bridge capacity to meet surging customer demand,” the company said.

Google isn’t abandoning its own infrastructure, but it’s buying time while it builds more. Parent company Alphabet has already committed over $180 billion in capital expenditures this year. 

It expects that number to grow significantly in 2027. To help fund all of this, Alphabet recently announced an $80 billion equity sale.

SpaceX’s Compute

Just two weeks before the Google announcement, SpaceX struck a similar deal with Anthropic.

That deal, worth $1.25 billion per month, gives Anthropic access to the full compute capacity at Colossus 1, a data center near Memphis, Tennessee.

 xAI originally built Colossus 1 for its own AI projects before merging with SpaceX.

Google’s deal appears to cover roughly half the compute that Anthropic gets access to through Colossus 1. 

SpaceX has not confirmed which specific data center Google will use. CEO Elon Musk has previously suggested Colossus 2 will stay reserved for xAI’s own work.

Contract Cancellation

Neither company is fully locked in. The agreement includes a cancellation clause; both SpaceX and Google can walk away with 90 days’ notice after December 31, 2026.

There’s also a ramp-up period. Google’s access to the data center will increase gradually through September at a reduced fee. 

If SpaceX fails to deliver the promised GPUs by September 30, 2026, Google gets options and can terminate the deal after a one-month grace period, or accept fewer GPUs with a lower monthly fee.

Stock Market

SpaceX made this announcement just one week before its stock is expected to start trading on the Nasdaq. 

The company is targeting a valuation of around $1.75 trillion, which would make it the largest IPO in history. It aims to raise about $75 billion in the process.

Landing a nearly $1 billion monthly deal is a statement that SpaceX has customers, it has revenue, and it has the computing capacity to back it all up.

Google and SpaceX

Google has been an investor in SpaceX for years. After the IPO, Google’s stake in the company is expected to be worth more than $100 billion.

The two companies are also reportedly exploring something even bigger: orbital data centers.

Building computing infrastructure in space is a central part of SpaceX’s long-term vision, and Google appears to want a seat at that table.