NewsWithDay — Global News, Every Day
NewsWithDay. Global News, Every Day
🏥 Health

Elon Musk: SpaceX annual recurring revenue by end

Elon Musk: SpaceX annual recurring revenue by end

Image: Cnbc

Elon Musk said SpaceX could reach between $500 billion and $1 trillion in annual recurring revenue by the end of 2027, a projection he gave on the company's third-quarter earnings call on October 20, 2026. The statement came after SpaceX reported that its quarterly revenue jumped 161% to $14.6 billion, up from $5.6 billion a year earlier. The result was well above analyst expectations of roughly $12.6 billion to $12.7 billion, and SpaceX shares rose about 8% in after-hours trading to around $160.

Annual recurring revenue, also called run rate, takes one month or quarter of current revenue and multiplies it out to a full year, so it can be much higher than the revenue a company actually books in that year. SpaceX's chief financial officer, Bret Johnsen, said the company is on track for its earlier goal of $100 billion in annual recurring revenue by the end of 2026, measured on December revenue. He guided first-quarter 2027 revenue to between $33 billion and $37 billion. Reaching the low end of Musk's range would require the run rate to grow again within about a year of passing $100 billion. Later that night Musk posted on X that $1 trillion in SpaceX revenue in 2028 is no longer impossible, and the company's internal timeline for a trillion dollars in annual revenue has moved up from 2031 to 2028, according to Yahoo Finance.

The growth is being driven largely by artificial intelligence rather than by rockets. SpaceX's AI division brought in $7.6 billion in the quarter, more than Starlink's $5.2 billion. Musk linked his projection to the company's AI computing business, including the Grokbot product, which he said may end up using most of SpaceX's superintelligence compute. Grokbot has passed 800,000 paid weekly users, more than doubling in a month. SpaceX ended the quarter with 1.7 gigawatts of computing capacity and expects 2.5 to 3 gigawatts by year-end, with Musk saying he is fairly confident of adding 10 gigawatts in 2027. Separately, SpaceX president Gwynne Shotwell said Starlink is contracted to serve 12,000 aircraft.

Many analysts see the target as a stretch. A $1 trillion run rate would top the annual revenue of Amazon at $717 billion and Walmart at $713 billion. Wall Street currently expects SpaceX to book about $315 billion in sales in 2028 and $626 billion by 2030, well below Musk's range. Whether the company can reach his figures will depend on how quickly its AI computing operations and other businesses can scale. This is a company projection and not investment advice. Details come from

NewsWithDay

Home 🌱 Agriculture 🚗 Automotive 🏦 Banking 📚 Books 📈 Business 📰 Crime 🔐 Cybersecurity 🔧 DIY 🎓 Education ⚡ Energy Admin Panel
🔔
Stay Updated!
Naya article aane par turant notification milegi.
Kabhi koi guide miss mat karo.