By Fatima Gulzar
Publication Date: 2026-08-21 00:58:00
On August 14, 2026, NVIDIA Corporation (NASDAQ:NVDA) disclosed that its Space Exploration Technologies Corp. (NASDAQ:SPCX) stake was worth about $21 billion at the end of the second quarter. A position that traces back to a $10 billion investment NVIDIA made in Elon Musk’s xAI as part of a $20 billion funding round in January 2026, before SpaceX acquired xAI for $1.25 trillion that February.
Why This Matters
NVIDIA Corporation (NASDAQ:NVDA)’s stake in Space Exploration Technologies Corp. (NASDAQ:SPCX) wasn’t originally a bet on rockets; it was a bet on Musk’s AI lab that was later folded into SpaceX. Does this circuitous path show Nvidia’s financial entanglements paying off in unexpected ways, or does it reveal just how tangled Nvidia’s relationships with its biggest customers have become?
The Bull and Bear Case: Nvidia
NVIDIA Corporation (NASDAQ:NVDA) owns 122.8 million SpaceX shares. Musk said on SpaceX’s own second-quarter earnings call that the company will exclusively use Nvidia chips in its AI data centers. He caled Nvidia’s graphics processing units the “best architecture” for training and running AI models. Musk added that SpaceX expects a significant allocation of Nvidia’s next-generation Vera Rubin GPUs next year. He plans to grow its computing capacity from 2…
