SpaceX posts first operating profit as AI revenue passes connectivity
SpaceX reported $14.58 billion in third-quarter revenue as leased AI computing capacity became its largest sales line.
By Daniel Okafor · Business Editor
2 min read
SpaceX Q3 2026 earnings showed $14.58 billion in revenue for the three months ended Sept. 30, up 161% from a year earlier, according to Reuters. The company reported its first profit as a public company, driven by rapid growth in its AI computing business, though its connectivity unit remained the larger source of operating income.
Reuters reported net income of $4.4 billion. Fortune reported operating income of $2.79 billion, reversing a $143 million operating loss in the prior quarter.
Did SpaceX AI revenue overtake Starlink?
Yes, in revenue terms. SpaceX said its AI unit, which it calls Super Intelligence, generated $7.56 billion in the quarter, compared with $5.25 billion for connectivity, a segment made up largely of Starlink services.
The AI figure was nearly three times the $2.56 billion reported in the second quarter, Fortune said. Reuters reported that the business mainly earns money by leasing data-center computing capacity to customers including Anthropic, Google and Reflection AI, rather than primarily from SpaceX-developed AI models.
Based on the company’s reported segments, AI accounted for roughly 52% of quarterly revenue, connectivity about 36% and space operations about 12%. Space revenue, which includes launches and related activity, rose 6% to $1.77 billion, according to Fortune.
Which business produced the operating profit?
Connectivity remained more profitable than AI. CNBC reported connectivity operating income of about $2.37 billion, while the AI business reported $431 million in operating profit and the space division had a $7 million operating loss.
Starlink’s subscriber base reached 13.6 million, up from 12 million in the previous period, CNBC reported. Reuters said average monthly revenue per subscriber had declined to $69 in the third quarter from $99 in 2023 as the satellite internet service expanded internationally with lower-priced plans.
How much is SpaceX spending on AI infrastructure?
SpaceX spent $19.6 billion on capital expenditures in the quarter, Reuters reported, with $16.4 billion directed to AI. That means compute infrastructure accounted for about 84% of the company’s reported quarterly capital spending.
Chief Financial Officer Bret Johnsen told investors that fourth-quarter capital expenditures were expected to reach $35 billion to $40 billion, Reuters said. CNBC also reported that Johnsen forecast first-quarter 2027 revenue of $33 billion to $37 billion, citing greater visibility into the company’s compute-contract pipeline.
The results put leased computing capacity ahead of connectivity in quarterly sales, while Starlink continued to provide most of the company’s operating profit. SpaceX’s longer-term space business still includes Starship development; Reuters reported that Starship has not yet entered commercial service.
This story draws on original reporting from Fortune.