AMD Drops 6% Despite Record Quarter as NVIDIA Gains 4% on SpaceX Nod
Musk said SpaceX will buy GPUs only from Nvidia because its Vera Rubin architecture is the best AI computer, as second-quarter sales rose 92% to $7.8 billion.
- On Tuesday's earnings call, SpaceX CEO Elon Musk announced the company will build its AI infrastructure exclusively using Nvidia GPUs, citing the Vera Rubin architecture as "the best AI computer."
- Developing AI-centric data centers in space for the Starmind orbital compute program requires a steady supply of graphics processing units, making Nvidia the exclusive partner for these operations.
- SpaceX expects to close 2026 with more than 2 gigawatts of compute capacity, rising to 10 gigawatts by end of 2027. Musk promised "a very significant percentage" of Nvidia's GPU supply next year.
- Shares of Nvidia climbed 4% to $221.33 on Wednesday following the announcement, while Advanced Micro Devices tumbled 6% after its Q3 guidance of about $13 billion missed whisper numbers near $14 billion.
- SpaceX aims to reach a $100 billion annual revenue run rate by year-end, though Wall Street remains cautious over the pace of spending and its impact on near-term profitability.
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AMD beats record revenue, but suffers harsh punishment from market fear over dependence on a few customers
(Seoul = Yonhap News) Reporter Jung Joo-ho = As SpaceX CEO Elon Musk announced that he would use only Nvidia chips going forward, Nvidia's stock price fell 5 trading...
AMD Drops 6% Despite Record Quarter as NVIDIA Gains 4% on SpaceX Nod
The post AMD Drops 6% Despite Record Quarter as NVIDIA Gains 4% on SpaceX Nod appeared first on 24/7 Wall St.. Shares of Advanced Micro Devices (NASDAQ:AMD) are down 6% to $486.60 Wednesday morning despite a record Q2 2026 report after Tuesday’s close. Meanwhile, NVIDIA (NASDAQ:NVDA) stock is climbing 4% to $221.33 after SpaceX (NASDAQ:SPCX) named the chip giant its exclusive AI chip supplier for the new Starmind orbital compute program. The spl…
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