xAI has shown this to be quite lucrative. And it seems to even make some sense - if the contract can be ended on relatively short notice, you basically have the capacity on stand-by if you ever need it yourself (accumulating GPUs is not trivial), but can monetize it if you don't need it.

Though it's probably a bad sign generally that you can't capitalize on all the GPUs you've acquired.

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khurs 2 hours ago | parent | next [-]

>xAI has shown this to be quite lucrative.

The demand is likely short term till the renter can ramp up their own centres/find better deals.

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InsideOutSanta 2 hours ago | parent | prev | next [-]

> xAI has shown this to be quite lucrative

How do you know this? Have they released any numbers?

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Sol- an hour ago | parent [-]

I think the SpaceX IPO showed them to rent the clusters for billions a month

	▲	InsideOutSanta 20 minutes ago \| parent [-]
		That doesn't mean they're lucrative, though. They cost tens of billions to build and huge sums to run. Even if I believe that they are now running profitably, that doesn't mean they're "quite lucrative" overall. SpaceX's numbers show xAI increasing its losses over time. In 2025, xAI lost $6.4 billion on $3.2 billion. In 2026, xAI posted a $2.47 billion operating loss in the first quarter alone.

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re-thc 2 hours ago | parent | prev [-]

> xAI has shown this to be quite lucrative

Come back when you have actual numbers on dollars spent, interest rates and the time spent.

	▲	disgruntledphd2 2 hours ago \| parent [-]
		To be fair to meta, they've been running data centers for almost two decades now, so they'd be in a different position to XAI.