SpaceX's 2027 Data-Center Target Looks Unlikely After Midterms
Dow Jones
3 hours ago
1501 ET - SpaceX's target for adding 10 gigawatts of data-center capacity next year looks far less achievable given the Democratic wave in Tuesday's midterms, particularly the election of Democrat Gina Hinojosa as Texas governor, Morgan Stanley analysts write in a note. They model 5.7 gigawatts of new capacity in 2027, with the company set to face headwinds from financing, chips, power, and local opposition. "After the results last night, we feel more convicted in our below consensus estimates" for data centers, they write. Still, SpaceX may not be in a worse position than peers, they say, and the company may be able to pivot to friendlier states. The results may also accelerate Elon Musk's push to put data centers in space, the analysts add.
At the request of the copyright holder, you need to log in to view this content
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.