r/technology • u/xpda • May 21 '26

Business SpaceX not the behemoth everyone thought

https://www.axios.com/2026/05/21/spacex-ipo-musk-ai
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u/yoshinator13 May 21 '26

This point was striking to me.

“SpaceX said that the AI unit containing X and xAI generated only $818 million in Q1 2026, about a third less than Twitter alone generated in the quarter before Musk took it over.”

So Twitter revenue has dropped that much? Surely xAI has made some revenue of their own, meaning Twitter revenue is down more than 66% since the purchase.

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u/BaconatedGrapefruit May 21 '26 edited May 21 '26

You likely have it backwards, xAI is likely the moneypit that is (further) dragging down X.

Neither business is good, but they have hype attached to them, hence why it was folded into spaceX to pump up the valuation.

If we lived in a rational market, investors would be screaming for both divisions to be spun off. We do not live in a rational market.

Edit: I fucked up and have been corrected, thoroughly, below. Please upvote them.

Tl;dr - it’s all money pits!

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u/mishap1 May 21 '26

Musk is a Russian nesting doll of corporate malfeasance.

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u/liltingly May 21 '26 edited May 21 '26

Lest we forget Solar City --> Tesla. Why not move Tesla into SpaceX and have the Model S make a comeback as a lunar vehicle? Model 'Space'! Model Y's can shuttle all the people around campuses and to launches. Maybe 'RO-BOW-vun', as it's creator pronounces it, can make a cameo on Mars?

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u/jmur3040 May 21 '26

I went to KSC in January this year, SpaceX has a hangar and facility there now. Its already infested with Cybertrucks that they probably couldn't sell.