SpaceX Nvidia AI chips pledge lifts chipmaker as Hormuz talks buoy markets
Musk said SpaceX will use Nvidia processors exclusively for AI, while reported Hormuz shipping talks coincided with a Dow record.
By Jordan Bell · Startups & Deals Reporter
· 3 min read
SpaceX Nvidia AI chips became a focal point for investors after Elon Musk said the company would use only Nvidia processors for its artificial-intelligence infrastructure. Separately, CNBC reported that apparent progress toward a Strait of Hormuz shipping arrangement coincided with a fifth consecutive record close for the Dow and lower oil futures.
Musk said SpaceX was “exclusive to Nvidia,” according to CNBC. Nvidia shares rose more than 3% following the statement, while AMD ended the session down 7%, despite what CNBC described as strong second-quarter earnings and guidance for data-center growth above 100%.
The trading moves occurred after the supplier announcement, but the reporting does not establish that the pledge alone determined either stock’s performance. AMD Chief Executive Lisa Su said she had respect for Musk and expected to continue working with him over the longer term, CNBC reported.
Why did SpaceX shares fall after its earnings report?
SpaceX shares dropped 13.6%, according to CNBC, as investors focused on a sharp increase in spending on AI infrastructure. Capital expenditures, money a company spends on long-term assets such as data centers and computing equipment, rose sixfold to $18.4 billion in the quarter. CNBC said most of that amount was directed at AI.
The Wall Street Journal reported that SpaceX attributed $15.8 billion of the total to its AI buildout, double the prior quarter’s AI-related spending. That spending figure is distinct from the Nvidia commitment: the former concerns how much SpaceX is investing, while the latter identifies the processors Musk said the company plans to use.
SpaceX reported second-quarter revenue of $7.8 billion, up 92% from a year earlier, and adjusted EBITDA of $3.5 billion, according to an earnings-call transcript published by Yahoo Finance. EBITDA is a measure of operating performance before interest, taxes, depreciation and amortization. The company also reported a quarterly net loss of $541 million.
Musk said SpaceX is building AI computing capacity at scale and projected $1 trillion in annual revenue by 2030. Those are company targets, not confirmed future results.
What is the status of the Strait of Hormuz talks?
The negotiations remained unfinished. CNBC reported that Iran and Oman were nearing the final stages of preparing a commercial-shipping agreement that would give Tehran greater control over vessels using the Strait of Hormuz, a major route for oil shipments. CNBC cited Reuters for that account.
Earlier CNBC reporting described potential talks between Iran and the United States on reopening the waterway. Treasury Secretary Scott Bessent said an agreement could be reached by Wednesday, while President Donald Trump later said a deal could arrive as soon as Wednesday or Thursday, CNBC reported. The available reports do not reconcile the precise roles of Oman and the United States in the discussions.
For markets, CNBC framed the Dow’s fifth straight record close and declines in Brent and West Texas Intermediate crude futures as occurring amid growing optimism over the talks. A shipping agreement has not been announced, and its final terms remain unclear.
This story draws on original reporting from CNBC.
