logoalt Hacker News

amazingamazingtoday at 1:04 PM2 repliesview on HN

How do you come to this conclusion? All it means is that spacex has compute and google does not.

Suppose tpus were theoretically a million times better, but cannot be produced due to supply chain constraints, this action would still be rational.

My personal take is that this really shows how bottlenecked the entire supply chain is. For such an important commodity there are shockingly few players ready for scale.


Replies

espadrinetoday at 3:54 PM

I see it mean two things:

1. Indeed, Google is compute-constrained, and is ready to buy any it can.

2. xAI (now SpaceXAI) has a lot of idle compute, which it resells to Cursor, Anthropic, Google, probably others as we speak.

In other words: Google is training models, xAI is not.

trebligdivadtoday at 1:14 PM

It's a very long contract (till 2029) for just covering themselves for supply.

show 3 replies