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Google to pay SpaceX $920M a month for compute capacity at xAI data centers

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Re: Google to pay SpaceX $920M a month for compute capacity at xAI data centers

#941

Earlier quoted context omitted.

I'm not saying that, it's the opposite: Gemini generated too-woke images, like all images of people was like at least 50% colored, no matter what, even if you asked it to generate images of German World War 2 soldiers, it mostly generated black people in nazi uniforms.

Your replies are non-sequitors to the discussion in this thread. Statement “I use grok to consume current events” Response “grok is not a reliable source for information, especially current events or politics” Your response “but Gemini generated images that right wingers didn’t like” Ok? Are those images the news? Is that a way to consume current events? Do you think I’m a proponent of people using LLMs to digest cur…

You gave the argument that Grok isn't trustable because of their nazi fails.

My argument was that you're maybe a bit biased, because similar issues have happened with other prominent companies.

Both companies corrected themselves on the issues.

I don't think your argument has much ground right now. Grok might be leaning into a certain direction, but you can say that about any AI or news station.

Re: Google to pay SpaceX $920M a month for compute capacity at xAI data centers

#942
post #917

Earlier quoted context omitted.

Sure, and Denmark might sneak attack Maine. But what’s the point of wild speculation.

You're acting like the landscape of law hasn't changed and been affected drastically by the purchased Supreme Court justices. That has literally happened. It's not a hypothetical or speculation.

I’m not. But this particular example is so beyond the pale for everyone, that it simply isn’t going to happen.

Re: Google to pay SpaceX $920M a month for compute capacity at xAI data centers

#943

Earlier quoted context omitted.

They are doing the same marketing garbage as Space-X and to no surprise, were founded by ex Space-X people. You need companies actually wanting to send stuff up there. Musk and K2 Space are desperate for customers and the fact, that they talk about datacenter in space, which doesn't make sense (for at least the next 30-50? years), should tell you everything you need to know. It is very easy to just lay down energy ca…

Not sure how we went from space x will fail to there are no companies new industries to the new industries are lying to data centers don’t make sense. There are plenty of reason for space data centers the big one would be: the public is moving against data centers. So plenty of space up there that isn’t regulated. Cooling is not impossible, the ISS does it. It’s not out the realm of science, just needs to be solved.…

Starlinks server consumes 5-7 kWh and one single B200 Rack is in a range of 100 kWh and more.

Elon Musks Colossus 1 datacenter (the small one) has 1500 Racks.

For a small datacenter, you already have to send up the equivilent of 26000 Starlink server (which is doable, to be fair, they have send 12000 up there so far since 2019).

V3 is only at 20 kWh and we have not seen V3 in space yet.

But one single rack normally has a high speed interconnect between itself and the other racks. Which means that you either have a very reliable very fast interconnect between satelites or that you have to make one satelite very big to house all of that.

Now because one Rack is 17x bigger and needs that much more energy, one GPU Rack Satelite solar area has to be 17x bigger from a area point of view.

You can't even send this payload up there without Starship btw.

So he has to solve:

- stable Operations of highend components, which are not build for space;

- Building Starship and getting it with payload into orbit

- Has to be able to send Starship up there for over 390 times to just being able to install one small datacenter

- IF Starship fails once for the 390 times, he has to rebuild Starship and the cost saving nose dives

- Needs to prove first that Starship can actually send payload up there high enough

- Needs proper groundsstations to send A LOT of data up there (Machine Learning data is a lot)

- Normally one rack has storage for tempdata and training runs; If you accept this, you still need to make sure somehow that your data is shared across full compute racks OR you need to send up a whole new Storage layer (if you mimic current datacenters) which increases everything I wrote above by 10%

Soooooo is it technical possible? Yes of course. No issue, its rocket science and we have enough technology right now to just do it besides Starship and verification that a GPU cluster can actually run for long enough in space etc.

But lets be honest here, how long do you think it will even take for Space-X to build a working Starship, enough Starships and the whole infrastructure to send 2-10 Starship up in space every single day?

This will not be more cost effective than a normal Datacenter on Earth for a very long time.

And even if you recupe some texas dessert, install massive amount of battery storage and solar and new very long (100km) fibre, this investment will be easier, cheaper and actually will stay were it is for 20-80 years without refresh.

If you estimate a lifetime of 5-10 years for a satelite setup like this, you have to send up thousends of Starships every year to just install more than once small datacenter AND to upgrade existing ones.

Btw. you do not want to now burn all of this hardware every day into our atmosphere. Its not 'free' garbage disposal.

1. you can't recylce which means we literaly burn metal away despite us having already resource issues

2. these metals actually do something with our atmosphere

Re: Google to pay SpaceX $920M a month for compute capacity at xAI data centers

#944

Earlier quoted context omitted.

Your replies are non-sequitors to the discussion in this thread. Statement “I use grok to consume current events” Response “grok is not a reliable source for information, especially current events or politics” Your response “but Gemini generated images that right wingers didn’t like” Ok? Are those images the news? Is that a way to consume current events? Do you think I’m a proponent of people using LLMs to digest cur…

You gave the argument that Grok isn't trustable because of their nazi fails. My argument was that you're maybe a bit biased, because similar issues have happened with other prominent companies. Both companies corrected themselves on the issues. I don't think your argument has much ground right now. Grok might be leaning into a certain direction, but you can say that about any AI or news station.

[deleted]

Re: Google to pay SpaceX $920M a month for compute capacity at xAI data centers

#945

Earlier quoted context omitted.

Your replies are non-sequitors to the discussion in this thread. Statement “I use grok to consume current events” Response “grok is not a reliable source for information, especially current events or politics” Your response “but Gemini generated images that right wingers didn’t like” Ok? Are those images the news? Is that a way to consume current events? Do you think I’m a proponent of people using LLMs to digest cur…

You gave the argument that Grok isn't trustable because of their nazi fails. My argument was that you're maybe a bit biased, because similar issues have happened with other prominent companies. Both companies corrected themselves on the issues. I don't think your argument has much ground right now. Grok might be leaning into a certain direction, but you can say that about any AI or news station.

[deleted]

Re: Google to pay SpaceX $920M a month for compute capacity at xAI data centers

#946
post #939

Earlier quoted context omitted.

This is incorrect. There are lots of ETFs that now directly hold China A shares. CSI 300 index is the equiv of S&P 500 in mainland China. Also, via HK Stock Exchange, you can buy China A shares via "northbound connect". A broker like Interactive Brokers supports this type of trading and the bizarre/special currency (CNH) required for it. That said, I excluded China because it is not developed and has awful transparen…

And if you look at the composition of the indices and ETFs you realize that you aren't participating in the innovative China, but get typical developing country stocks and very limited exposure to innovation. Also -10% over the last 5 years vs. +103% for the S&P500

    > the innovative China
Can you give some example listed stocks that you consider (1) innovative and (2) not a member of CSI 300?

Re: Google to pay SpaceX $920M a month for compute capacity at xAI data centers

#947

Earlier quoted context omitted.

Not sure how we went from space x will fail to there are no companies new industries to the new industries are lying to data centers don’t make sense. There are plenty of reason for space data centers the big one would be: the public is moving against data centers. So plenty of space up there that isn’t regulated. Cooling is not impossible, the ISS does it. It’s not out the realm of science, just needs to be solved.…

Starlinks server consumes 5-7 kWh and one single B200 Rack is in a range of 100 kWh and more. Elon Musks Colossus 1 datacenter (the small one) has 1500 Racks. For a small datacenter, you already have to send up the equivilent of 26000 Starlink server (which is doable, to be fair, they have send 12000 up there so far since 2019). V3 is only at 20 kWh and we have not seen V3 in space yet. But one single rack normally h…

Why do you give Elon such influence. He doesn’t have to do anything. SpaceX employs engineers. I think that’s one thing that’s keeping the discussion from being rational whenever it is brought up online. Too many knee jerk reactions to the personal feelings people have with Elon, quick to share sound bites they heard that reinforce their position. I don’t like the guy and even I see this as a huge game changer in the scope of space and technology. It’s no wonder to me that Google would invest in this along with other companies and soon, lots of retail investors.

Your points about whether or not some aspects are sound or safe are valid and worth bringing up but it doesn’t change the nature of how these technologies are and will be developed.

Re: Google to pay SpaceX $920M a month for compute capacity at xAI data centers

#948
post #662

Earlier quoted context omitted.

> Anyone who holds bonds in this market will likely lose money. Yes, you lose money (or more precisely you lose opportunity) but you gain certainty. Which is what you want for retirement That’s pretty much the definition of risk premium.

Bonds only give you certainty to the extent that inflation remains certain. Stocks generally rise with inflation, whereas bonds continue paying out the same nominal amount, which buys you less over time. As a retiree I'm 50/45/5 in stocks/bonds/cash, having opted for a conservative portfolio. The stocks are the only reason I haven't lost buying power. But the bonds have performed so poorly that I've barely kept up wi…

Wow, I am surprised that you think 50% in stocks as a retiree is a "conservative portfolio".

Re: Google to pay SpaceX $920M a month for compute capacity at xAI data centers

#949

Earlier quoted context omitted.

TIPS are yielding 2.1-2.75% _real_ across the curve from 10 to 30 years out.

Worth noting the cost of dealing with Treasury's absolute dumpster fire of a website, though.

Why not use a broker? I usually recommend Interactive Brokers here.

Re: Google to pay SpaceX $920M a month for compute capacity at xAI data centers

#950
post #484

Earlier quoted context omitted.

Start gradually converting your equity to bonds is the standard advice on that timeframe. If you're dreading equity drawdowns, that's what fixed income is for.

As others have pointed out, bonds are barely (or not) keeping up with inflation. I would like to suggest a third alternative to stock index and bonds: stable dividend stocks. They should increase in value along with inflation but still pay out a steady dividend as long as the company is strong.

    > As others have pointed out, bonds are barely (or not) keeping up with inflation.
I see this sentiment a lot, but the stats do not hold up. For example, the annual inflation rate in the US in 2025 was 2.7%. That number comes from the US Bureau of Labor Statistics.

For looking at corporate bond rates, it is useful to consider the Bloomberg US Aggregate Bond Index (aka "the Agg"). It has a weighted average maturity of about 8 years (intermediate-term), currently has a yield-to-maturity of about 4.75%.

Everytime I see a debate of stocks vs bonds on the Internet, someone pops into the convo to remind everyone about "stable" dividend stocks. Honestly, for sophisticated investors, I just to don't see this strategy frequently deployed. It seems more like talking heads on the Internet. Has anyone done backtesting on performance of high div stocks vs some combination of S&P 500 and investment grade corp bonds? I would expect the latter to greatly outperform.

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