Google parent Alphabet Inc (NASDAQ:GOOG) (NASDAQ:GOOGL) is moving to secure short-term AI compute capacity through a major cloud agreement with SpaceX.
BNP Paribas analyst Nick Jones said this reinforces Google's commitment to maintaining AI leadership despite capacity constraints. • Alphabet shares are experiencing downward pressure.
Why are GOOG shares declining?
Jones Says Google Is Buying Bridge AI Capacity Jones said Alphabet entered a cloud service agreement with SpaceX to pay $920 million per month for 200 megawatts of capacity from October 2026 through June 2029.
He said the capacity includes about 110,000 NVIDIA Corp (NASDAQ:NVDA) GPUs, along with CPUs, memory, and related components.
