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SpaceX in talks with Pentagon to provide multibillion-dollar AI data centre capacity

SpaceX is negotiating with the U.S. Department of Defense to provide data centre capacity to run AI models, the Wall Street Journal reported, citing people familiar with the matter. The talks involve several billion dollars and could still fall through. SpaceX has been expanding its cloud computing business and has discussed offering lower-priced capacity to AI customers. The Pentagon is seeking cloud infrastructure and has asked Congress for $30 billion for an AI initiative.