SpaceX Unveils $74 B Supercompute Investment Across Texas and Arizona

SPCX said on Thursday, November 12, that it plans to invest more than $74 billion in two AI supercomputing campuses: more than $24 billion in new supercomputing infrastructure at its Starbase site in Texas's Rio Grande Valley, and roughly $50 billion at a campus in Cochise County, Arizona, about 80 miles east of Tucson. The Arizona figure had not been disclosed before. SpaceX's involvement there only became public on November 4, at a town hall for an application filed under the name Tombstone Resources LLC; a company representative told residents the filing used another name because putting SpaceX on it "draws attention".

The Arizona plan is large even by AI data-center standards. The application describes a 747-acre site with up to nine buildings of about 493,000 square feet each, brought online in four phases of roughly 1.5 GW to reach 6 GW at full build, backed by a 24 GWh battery system and about $3.6 billion in grid upgrades. SpaceX says it could expand the neighboring Apache Generating Station, a roughly 1 GW coal and gas plant that had been slated to retire by 2028, to more than 6 GW, and it projects about 5,500 construction jobs and 1,000 permanent jobs.

The spending follows the rapid growth of SpaceX's AI business. The Motley Fool reports that the AI division grew revenue 830% year over year to $7.56 billion in the third quarter, more than half of company revenue, and that Elon Musk has projected annual recurring revenue of $500 billion to $1 trillion by the end of 2027. Zacks cites cloud contracts with Anthropic at $1.25 billion per month and Google at $920 million per month, and third-quarter revenue up 161% to $14.6 billion with $4.4 billion of net income.

Both projects now face local approvals on the same day. The Cochise County Planning and Zoning Commission holds a public hearing on December 9, with written comments due November 27 and a petition opposing the permit at about 2,400 signatures; the Starbase City Commission will consider a property tax abatement for the $24 billion Texas facility at its own December 9 hearing. If Arizona approves, construction could start in March 2027. Power sourcing, permitting and how SpaceX funds a build of this scale are the variables to watch.