SpaceX revenue soars 161% as AI business grows

SpaceX reported a 161% year‑over‑year revenue surge for the quarter ending in September, turning a prior $1.05 billion loss into $4.40 billion in profit and marking the company’s second quarterly financial disclosure since going public in June. The gain was driven largely by Starlink and expanding AI businesses: the connectivity segment generated $5.2 billion in revenue, up 69% from a year earlier, while overall revenue growth pushed the company’s valuation to about $1.95 trillion and lifted shares nearly 4% in after‑hours trading to roughly $153.30 (later modestly lower). The prior quarter produced $7.8 billion in revenue but still incurred losses, highlighting how rapid top‑line growth is now outpacing costs.

Significant investment in AI infrastructure and data centers weighed on earlier results - an AI unit posted a $1.26 billion operating loss last quarter after doubling spending - but that unit turned positive in the most recent quarter with $431 million in operating income. Starlink’s recent acquisition of nationwide low‑band spectrum signals a push to compete with U.S. mobile carriers, prompting investor focus on launch timing and terrestrial build plans. Separately, Elon Musk pledged to give a SpaceX share to every U.S. child next year, a roughly $11 billion commitment based on 73 million minors and a ~$150 share price. Observers note broader debate over AI’s economic impact and safety risks remains unresolved.