Google signs $920M monthly compute deal with SpaceX

Google has entered into an agreement to pay SpaceX $920 million per month for compute (processing power) access, according to a regulatory filing announced on Friday. Under the terms of the agreement, the payment period will run from October 2026 through June 2029. The deal covers access to approximately 110,000 NVIDIA GPUs, CPUs, memory, and other components.

The agreement provides Google with what it describes as bridge capacity (temporary resources to meet demand) for its Gemini Enterprise platform. A Google representative described the deal as a short-term, timely agreement to secure bridge capacity for its Gemini Enterprise agent platform due to higher-than-expected customer demand. This arrangement mirrors a previous compute deal SpaceX secured with Anthropic, though Google’s deal is for roughly half the compute capacity compared to Anthropic’s deal at Colossus 1, a data center near Memphis, Tennessee.

The financial structures of the two deals highlight the scale of SpaceX’s compute business:

• Google’s deal: $920 million per month for access to approximately 110,000 NVIDIA GPUs, CPUs, memory, and other components.
• Anthropic’s deal: $1.25 billion per month for compute access.

While Anthropic was previously limited in its compute capacity, Google is positioned differently as one of the world’s largest owners of AI compute, seeking the SpaceX deal to secure temporary bridge capacity.

The deal comes as Alphabet, Google’s parent company, executes financial maneuvers, including a committed $180 billion in capital expenditures (funds used to acquire or upgrade physical assets) and an $80 billion equity sale. Meanwhile, SpaceX is preparing for an upcoming IPO (Initial Public Offering). According to Securities and Exchange Commission filings, SpaceX is aiming to raise around $75 billion at a valuation of around $1.75 trillion. Google’s stake in SpaceX is expected to be worth more than $100 billion after the IPO.

The agreement contains specific termination provisions. Both companies have the option to cancel the deal with 90 days’ notice after December 31, 2026. Furthermore, the regulatory filing outlines strict delivery timelines: “If we fail to deliver access to the committed amount of GPUs by September 30, 2026, then following a one-month grace period, Google may immediately terminate the agreement or accept the number of GPUs provided” with a reduction in monthly fees.

Why it matters

The deal highlights Google’s urgent need for compute capacity to support its Gemini Enterprise platform amid surging demand, while serving as a major financial indicator for SpaceX ahead of its historic IPO.