In a recent discussion, Cathy Wood of Arkinvest and the podcast speaker highlighted significant developments in the AI compute sector, particularly concerning SpaceX's involvement.
Key news and points from the discussion include:
* **SpaceX's AI Compute Business:** Elon (SpaceX) reorganized and leased out its terrestrial data center, "Colossus" in Memphis, to Anthropic and Google. This business is referred to as "SpaceX AI" or "super intelligence compute business."
* **Cost and Profitability of Data Centers:**
* The estimated cost for SpaceX to build a data center is $25 to $30 billion per gigawatt.
* The current spot price for AI compute is estimated at $50 billion per gigawatt.
* This implies an investment of $25 billion could yield $50 billion in revenue within 12 months, covering double its cost.
* Even at the higher build cost of $30 billion per gigawatt and a lower spot price of $30 billion per gigawatt ($30 per watt), the initial investment is recouped in the first year. Subsequent years generate comparable revenue with "almost zero cost."
* **Customer Pricing:** Anthropic initially leased space at $34 billion per gigawatt, with Google later paying $50 billion per gigawatt. The speaker notes the most recent information shows SpaceX AI monetizing each gigawatt at $50 billion.
* **Unprecedented Returns:** The speakers describe these returns as "completely bonkers" and "Ponzi scheme level returns from a genuine, real high demand business," highlighting that a 100% return on capital investment within six to twelve months is "mental" and "unprecedented."
* **Soaring Demand for AI Compute:**
* Demand for AI compute is "off the charts" and likely to trend higher.
* There is no "magic button" to immediately meet the "extremely overwhelming current demand."
* The spot prices have surged from $34 billion to $50 billion per gigawatt due to this demand.
* AI usage is described as "still so early," a "fraction of a fraction of a fraction of a percent" of its future potential, implying continued explosive growth in demand for compute.
* **SpaceX's Future Plans:** SpaceX "has aspirations to bring online many gigawatts of compute just over the next 12 months." The concept of "StarMind orbital AI compute" is also mentioned.
* **AI Boom vs. Internet Bubble:** The current situation is contrasted with the internet bubble, where "dark fiber" (capital investment in fiber optic cables) took 20-25 years to be fully utilized. Today, GPUs are in "short supply," indicating a fundamental scarcity driving the current market.
* **Anthropic's Rapid Growth and Profitability:**
* In December *last year* (December 2025), Anthropic's annualized revenue run rate was $9 billion.
* In July (2026), its annualized revenue run rate jumped to $65 billion, a "sevenfold increase."
* This growth is compared to Salesforce.com, which took 25 years to add that much revenue.
* The collective annualized revenue of Anthropic and OpenAI has now surpassed Microsoft Windows and Office collective revenue (which took four decades to build).
* "Well founded" rumors suggest Anthropic's gross margin is "more than 80%" and it has been profitable on an operating income basis for "two consecutive quarters."
* **Value Proposition of AI Compute:** Companies are willing to pay high prices for AI compute because it allows them to increase user usage of their models, generating significantly more revenue (e.g., paying $50 billion to SpaceX AI could result in $60-70+ billion in actual revenue).
* **The Future of AI:** The speaker emphasizes that it's still "day 0.000" for AI, and these technologies will become "faster, cheaper, and more widely adopted." The "limiting factor" for AI companies is "access to AI compute," and demand for both AI tools and compute will be "near infinite for decades to come."
* **Call to Action:** The speaker urges listeners to immediately start using AI tools in their personal and professional lives, recommending "Crock-Bot" as the "best product of all time."