Google Will Pay SpaceX $920 Million a Month to Rent 110,000 GPUs at the Colossus Data Center

SpaceX has agreed to rent a large slice of its data-center capacity to Google for $920 million a month, according to a regulatory filing the rocket company disclosed on June 5. The multiyear agreement runs from October 2026 through June 2029 — a 32-month term that works out to roughly $29 billion — and grants Google access to "approximately 110,000 NVIDIA GPUs, CPUs, memory, and other related components," per the filing reported by TechCrunch. The disclosure landed barely a week before SpaceX's anticipated Nasdaq debut.

The compute lives at Colossus, the sprawling complex near Memphis, Tennessee that was originally built to train xAI's Grok models. With xAI reportedly migrating its newest training runs to a second site, SpaceX has been turning the facility's existing NVIDIA hardware into a rental business — and Google is now its second marquee tenant. The terms include a ramp-up period through September 2026 at reduced pricing and a 90-day cancellation option that opens after December 31, 2026, giving Google an exit if its own data-center buildout catches up to demand.

That demand is the stated reason for the deal. A Google representative described the arrangement as "bridge capacity to meet surging customer demand for our agent platform, Gemini Enterprise," framing it as a stopgap rather than a long-term dependence on a rival's silicon. The math is striking all the same: an internet giant that operates some of the largest data centers on Earth, and designs its own Tensor Processing Units, is willing to pay nearly a billion dollars a month to borrow someone else's GPUs because it cannot stand up enough of its own fast enough.

For SpaceX, the contract cements an unexpected second act as one of the AI industry's biggest compute landlords. In May, Anthropic signed a $1.25 billion-a-month deal for exclusive access to Colossus 1, and the Google agreement stacks on top of it. Together the two contracts point to a compute-rental run-rate north of $2 billion a month once fully ramped — a revenue line that did not exist a year ago and that arrives at a conspicuously useful moment, with SpaceX targeting a roughly $1.75 trillion valuation in an IPO expected around June 12.

The deal also reshuffles the usual AI hierarchy in a way worth sitting with. The hyperscalers — Google, Microsoft, Amazon — were supposed to be the ones renting compute out, not in; instead, a satellite-and-rockets company has positioned itself as the neutral arms dealer leasing capacity to two frontier labs and a search giant at once. When the scarcest input in the industry is not talent or data but raw GPU hours, whoever controls a powered, networked building full of accelerators can name the price.