By Joey Frenette
Publication Date: 2026-08-13 12:51:00
Nvidia (NASDAQ:NVDA | NVDA Price Prediction) shares caught quite the bid higher when Elon Musk surprisingly announced that his space empire, Space Exploration Technologies (NASDAQ:SPCX), would show loyalty to the great Jensen Huang by going exclusive with Nvidia’s AI chips.
Why the big commitment? To put it simply, Elon Musk said that “they are the best.” And he’s certainly not wrong, especially as the Vera Rubin era looks to change the world once again.
For investors, the big question is: why bother committing to one firm or another for AI chips? Doesn’t it make more sense to leverage rivals against each other for a shot at better prices?
In my view, I think SpaceX’s loyalty could come with some unspoken perks, especially as Nvidia faces intense demand for its latest and greatest. Indeed, it only makes sense to prioritize firms with the deep pockets and loyalty whenever the line starts going out the door.
SpaceX’s Nvidia exclusivity could pay off in a big-time way
In my humble opinion, a simple gesture of loyalty can go a long way. And for SpaceX, it feels like it’s secured a spot at, or at least very close to, the front of the line for the next era of cutting-edge GPUs. Add Nvidia’s support for its orbital AI data center endeavors into the equation, and perhaps the partnership between the two titans in tech is just getting started. At the end of the day, it’s far better to have two of the brightest minds in tech tackling the same problems.
While…
