Why does SPACEX do the things it does?

[Rastafarian]

He is worth $650B. Your last sentence does not compute.

Oh he is excellent at making himself money. Also excellent at spending our tax dollars since all of teslas profits can be attributed to EV tax credits and carbon credits.

But I won’t **** on him too much. He’s wildly successful and someone who will be in history books. He’s been able to recruit top talent and motivate them to achieve very impressive goals. He just has too much charlatan in his style for me to admire him.

 

[Dadar]

Secondary offering, but yes. He’s doing this because he needs to inflate the valuations because he has so much leverage across all his businesses. In particular he is falling behind on Xai which is generating very little revenue and he needs to keep borrowing. The circular financing of AI is child’s play compared to his portfolio. Teslas bubble popping would literally break him.

The banks will happily accommodate this because they want his dealflow so keep him in good graces. Other investors will do a bad deal because they want access to his dealflow. Space x will be a massive IPO if it ever goes public, but good luck getting a $800B valuation at IPO.

Google holds a 10% interest in space X

 

[fatpiggy]

 

[fatpiggy]

crazy

 

[firegiver]

The hype just doesn't make sense guys

 

[fatpiggy]

 

[ANEW]

crazy

The idea of a mass driver on the moon sending stuff back to earth orbit has been a staple of science fiction for a long time. But we have to have an actual base on the moon first before we can build one.

 

[fatpiggy]

SpaceX and Xai merge into one entity with a valuation of $1.25 trillion.

Still plans to go public at 1.5t I believe .

 

[firegiver]

SpaceX and Xai merge into one entity with a valuation of $1.25 trillion.

Still plans to go public at 1.5t I believe .

smh he's high af on ketamine. this is not good news for Musk fans. Its part of his incepid plan to hide is debt. X, for example has lost solvency, so he's leveraging that debt into spaceX. You see, when you buy a company for 40 billion and its worth only 9 billion today, your investors get pissed. So he's paying them back with this move. By taking tax payer dollars from spacex to pay them off.

 

[fatpiggy]

smh he's high af on ketamine. this is not good news for Musk fans. Its part of his incepid plan to hide is debt. X, for example has lost solvency, so he's leveraging that debt into spaceX. You see, when you buy a company for 40 billion and its worth only 9 billion today, your investors get pissed. So he's paying them back with this move. By taking tax payer dollars from spacex to pay them off.

Actually his investors, like Ron Barron, have been very pleased. Dont guess, dont read it somewhere, take it directly from the investors mouth. They are very pleased.

 

[UrHuckleberry]

Actually his investors, like Ron Barron, have been very pleased. Dont guess, dont read it somewhere, take it directly from the investors mouth. They are very pleased.

Investing, etc, is not my thing, so I'm not going to pretend to be an expert. But do investors usually talk poorly publicly about about their own investments? Or is the argument, they would just sell and no longer be investors?

 

[firegiver]

Actually his investors, like Ron Barron, have been very pleased. Dont guess, dont read it somewhere, take it directly from the investors mouth. They are very pleased.

i don't really care what Ron Barron has to say on the matter. Thank you.

 

[fatpiggy]

Investing, etc, is not my thing, so I'm not going to pretend to be an expert. But do investors usually talk poorly publicly about about their own investments? Or is the argument, they would just sell and no longer be investors?

Can do whatever they want, investors usually do what’s best for their wallet.

However, watch the interview with Ron Barron, his praise and respect for Elon are authentic. Elon has made him a bunch of $$$$ so understandably so.
Anyway, he invested in X at $44B and the next day marked it down 70%. He was very pleased to make money on the investment despite the “high” purchase price.

 

[fatpiggy]

i don't really care what Ron Barron has to say on the matter. Thank you.

Well he is an Elon investor who you were speaking for and he was certainly not pissed as you suggested.

 

[firegiver]

Well he is an Elon investor who you were speaking for and he was certainly not pissed as you suggested.

I was early on Elon. As I've explained countless times to you. You always try to frame things in a very biased way about my perspective.
Facts: X was out of money, XAi buys X, XAi is now out of money SpaceX aquires it.
What happens with SpaceX is out of money? Oh, Tesla aquires it. Diluting your shares and anchoring it with tons of debt. You've been warned.

 

[fatpiggy]

I was early on Elon. As I've explained countless times to you. You always try to frame things in a very biased way about my perspective.
Facts: X was out of money, XAi buys X, XAi is now out of money SpaceX aquires it.
What happens with SpaceX is out of money? Oh, Tesla aquires it. Diluting your shares and anchoring it with tons of debt. You've been warned.

You have a poor understanding of finance but ok.

Stick to your industry and tell us why space data centers will never happen.

 

[firegiver]

You have a poor understanding of finance but ok.

Stick to your industry and tell us why space data centers will never happen.

What's your industry fatty?
Mine is technology.

 

[fatpiggy]

What's your industry fatty?
Mine is technology.

Finance and technology

 

[fatpiggy]

What's your industry fatty?
Mine is technology.

I was listening to the latest Elon interview with Darkesh and he addresses your concern about server maintenance in space. I had AI summarize his thoughts so you don’t have to listen to it. What are your thoughts? Does it address your concerns?


*AI*
Elon Musk argues that maintenance (or servicing) of servers/GPUs in space won’t be a significant problem for orbital AI data centers. His reasoning, from the Dwarkesh Podcast interview, boils down to the following key points:

• High reliability after initial phase: Modern GPUs and similar chips (whether from Nvidia, Tesla’s Dojo chips, Google TPUs, or others) experience most failures during an early “infant mortality” period. These early issues can be identified and resolved through rigorous testing and debugging on the ground before launch.
• Past the debug cycle, failures are rare: Once the hardware passes that initial testing/debug phase and starts operating normally, it becomes quite reliable over time. Failures become infrequent enough that they don’t pose a major operational or economic issue.
• Servicing not a blocker: Because post-debug reliability is high, the need for ongoing repairs or replacements in orbit would be minimal. Musk explicitly says, “So I don’t think the servicing thing is an issue.”

He contrasts this with the common concern raised by the host (Dwarkesh Patel) that GPUs fail often during training and would be hard/impossible to service in space. Musk dismisses it as overstated for mature, post-debug hardware, emphasizing that the real scaling limit on Earth is electricity, not maintenance logistics in orbit.


This fits into his broader prediction that within ~30-36 months, space will become the most economically compelling place for AI compute due to abundant solar power and other advantages, with maintenance concerns not derailing the economics.

 

[firegiver]

I was listening to the latest Elon interview with Darkesh and he addresses your concern about server maintenance in space. I had AI summarize his thoughts so you don’t have to listen to it. What are your thoughts? Does it address your concerns?


*AI*
Elon Musk argues that maintenance (or servicing) of servers/GPUs in space won’t be a significant problem for orbital AI data centers. His reasoning, from the Dwarkesh Podcast interview, boils down to the following key points:

• High reliability after initial phase: Modern GPUs and similar chips (whether from Nvidia, Tesla’s Dojo chips, Google TPUs, or others) experience most failures during an early “infant mortality” period. These early issues can be identified and resolved through rigorous testing and debugging on the ground before launch.
• Past the debug cycle, failures are rare: Once the hardware passes that initial testing/debug phase and starts operating normally, it becomes quite reliable over time. Failures become infrequent enough that they don’t pose a major operational or economic issue.
• Servicing not a blocker: Because post-debug reliability is high, the need for ongoing repairs or replacements in orbit would be minimal. Musk explicitly says, “So I don’t think the servicing thing is an issue.”

He contrasts this with the common concern raised by the host (Dwarkesh Patel) that GPUs fail often during training and would be hard/impossible to service in space. Musk dismisses it as overstated for mature, post-debug hardware, emphasizing that the real scaling limit on Earth is electricity, not maintenance logistics in orbit.


This fits into his broader prediction that within ~30-36 months, space will become the most economically compelling place for AI compute due to abundant solar power and other advantages, with maintenance concerns not derailing the economics.

First of all, he only talks about the failure rate of the hardware in optimal situations. High orbit electronics will be bombarded by radiation. Which will cause failure much quicker than within the protection of earth's electromagnetic field.

Secondly, he doesn't address cooling. Im not a phycisct but the ones who Ive heard on the subject of cooling in space say its far more difficult than on teran.

 

[fatpiggy]

First of all, he only talks about the failure rate of the hardware in optimal situations. High orbit electronics will be bombarded by radiation. Which will cause failure much quicker than within the protection of earth's electromagnetic field.

Secondly, he doesn't address cooling. Im not a phycisct but the ones who Ive heard on the subject of cooling in space say its far more difficult than on teran.

You seem to have the right concerns, and it seems they are addressing them. This is a great post.

 

[baltimorened]

Investing, etc, is not my thing, so I'm not going to pretend to be an expert. But do investors usually talk poorly publicly about about their own investments? Or is the argument, they would just sell and no longer be investors?

well, first of all, you're an intelligent person, you should do some work investigating investments. You're young, and at some point, unless you're already independently wealthy, you'll retire and investments made today will grow and help support you in your old age.. At that point you send your money out to work while you lay by your pool. Even today you get 7-9% returns on safe investments, without the ups and downs of the stock market

Most investors are in it for the long term. Traders are in the buying and selling business. Big guys, the hedge funds, pension funds more likely would attempt to direct losing companies instead of writing off their investments..

 

[MTTiger19]

First of all, he only talks about the failure rate of the hardware in optimal situations. High orbit electronics will be bombarded by radiation. Which will cause failure much quicker than within the protection of earth's electromagnetic field.

Secondly, he doesn't address cooling. Im not a phycisct but the ones who Ive heard on the subject of cooling in space say its far more difficult than on teran.

Buy iren and cifr. Space data centers won’t be here for a while.

 

[MTTiger19]

well, first of all, you're an intelligent person, you should do some work investigating investments. You're young, and at some point, unless you're already independently wealthy, you'll retire and investments made today will grow and help support you in your old age.. At that point you send your money out to work while you lay by your pool. Even today you get 7-9% returns on safe investments, without the ups and downs of the stock market

Most investors are in it for the long term. Traders are in the buying and selling business. Big guys, the hedge funds, pension funds more likely would attempt to direct losing companies instead of writing off their investments..

@UrHuckleberry heed this advice. Get some money in the market asap. If you can start with 1000$ that’s enough. You just have to buy the ticket. Between inflation and the volatility in the economy it’s critical, the right equities can help hedge against inflation. Start with a mag 7 or two then move into industries you understand or enjoy. I know you’re in the housing industry. There’s some really cool market disruptors in that industry like open and betr, maybe take a look at those. Max the 401k. Max the Roth. Max the HSA. Get some money in an individual equities account and buy a little bitcoin (it’s on sale now).

 

[UrHuckleberry]

@UrHuckleberry heed this advice. Get some money in the market asap. If you can start with 1000$ that’s enough. You just have to buy the ticket. Between inflation and the volatility in the economy it’s critical, the right equities can help hedge against inflation. Start with a mag 7 or two then move into industries you understand or enjoy. I know you’re in the housing industry. There’s some really cool market disruptors in that industry like open and betr, maybe take a look at those. Max the 401k. Max the Roth. Max the HSA. Get some money in an individual equities account and buy a little bitcoin (it’s on sale now).

I’m definitely doing multiple of these things, I just meant I wouldn’t know what I’m talking about any sort of day trading or personally reacting to the market etc. With 401K/HSA/Roth/529 and even Ally Investment account, I just put money in and leave it, not buy and sell personally is all.

 

[MTTiger19]

I’m definitely doing multiple of these things, I just meant I wouldn’t know what I’m talking about any sort of day trading or personally reacting to the market etc. With 401K/HSA/Roth/529 and even Ally Investment account, I just put money in and leave it, not buy and sell personally is all.

It’s no different than the 401k with the exception of you can get to the money when you want it and you can buy what you want. You and I are relatively younger, we can take on more risk (higher beta) which has potential for higher returns. I don’t look at mine that often because I’m planning on holding most of these for a few years at least. If you’re not in yet, I recommend finding some industries and companies you like and sprinkle a little cash on their stock. At the very least you will begin learning the market and some basic fundamentals. Idk what you think about X but there are a lot of good financial resources on there. Eric Jackson and Mike Alfred are two that I’d recommend following.

 

[baltimorened]

I was early on Elon. As I've explained countless times to you. You always try to frame things in a very biased way about my perspective.
Facts: X was out of money, XAi buys X, XAi is now out of money SpaceX aquires it.
What happens with SpaceX is out of money? Oh, Tesla aquires it. Diluting your shares and anchoring it with tons of debt. You've been warned.

I thought spaceX bought XAi, and later this year the combined company is having an IPO. There was talk on one of the business shows, that future thought might be for the combined SpaceX/XAi to buy Tesla, to put all the companies under one "roof" (so to speak)

 

[fatpiggy]

I thought spaceX bought XAi, and later this year the combined company is having an IPO. There was talk on one of the business shows, that future thought might be for the combined SpaceX/XAi to buy Tesla, to put all the companies under one "roof" (so to speak)

To get technical SpaceX merged with Xai. It is TBD if Tesla will now merge with SpaceX. It would be a complex process, but it’s a now or never thing. If the merge doesn’t happen pre ipo it likely never happens and SpaceX and Tesla would remain separate.

The Tesla owners want a merger, the SpaceX people do not. At least at the last terms that were presented.

 

[fatpiggy]

 

[fatpiggy]

 

[fatpiggy]

Why would be build data centers in space? Because regulation will stifle all growth here.

 

[firegiver]

Why would be build data centers in space? Because regulation will stifle all growth here.

You know what else you can do in international waters? Illegal things

 

[fatpiggy]

You know what else you can do in international waters? Illegal things

Building data centers is illegal? Cmon Firegiver

 

[fatpiggy]

Republicans innovate while democrats regulate

 

[TheValley91]

Republicans innovate while democrats regulate

Kinda like wind farms right?

Also remember when Musk said we would be on Mars in 10 years? That was 14 years ago.

 

[fatpiggy]

Approximately 11 high up people in Xai have quit in the past couple of days. Something to do with the merger? Or something else? Here is one of the lead engineers that quit.

 

[firegiver]

Building data centers is illegal? Cmon Firegiver

Whoosh. My point going over your head

 

[fatpiggy]

Whoosh. My point going over your head

Probably because it was a retarded point.

 

[firegiver]

Approximately 11 high up people in Xai have quit in the past couple of days. Something to do with the merger? Or something else? Here is one of the lead engineers that quit.

Xai was upside down before the merger. These folks are leaving probably due to pressure to produce results as grok falls behind competition. The people they are hiring right now include legal and video designers. They are clearly going in a different direction: less science more content.
The important thing that im seeing is: Models across companies are peaking. Meaning the training and releasing of new ones that actually score LESS than their previous versions. This is a catastrophe for those super ai dreams. Hang on to your butts as tgis realization spreads.

 

[firegiver]

Probably because it was a retarded point.

Says the guy who didn't get it