Musk Plans 3 Nvidia Chip Waves for Colossus 2; Google Tests AI Chips in Orbit

Elon Musk laid out the most detailed buildout timetable yet for Colossus 2, the xAI supercomputer in the Memphis area. In a post on X on September 25, Musk said the cluster currently runs 110,000 Nvidia GB200 chips and 440,000 GB300s. Another 220,000 GB300 chips are due to be fully operational next week, with a second 220,000-chip batch expected in November and a possible third batch in late December “if we get lucky.” If all three waves land on schedule, that is up to 660,000 additional GB300 chips by year-end. SpaceX has previously said it plans to equip the Memphis facility with 1 million GPUs by 2026. Musk also disclosed Colossus 1’s inventory: 150,000 H100s, 50,000 H200s and 30,000 GB200s. Separately, SpaceX said Google is preparing to test its own AI chips in orbit aboard a SpaceX rocket, and that its AI capacity now serves outside customers including Google and Anthropic.

Why it matters: This is a staggering signal for Nvidia and the whole AI hardware chain. Tesla investor Sawyer Merritt estimated the chips across the two sites represent more than $100 billion in GPUs and over two gigawatts of compute. If hyperscalers keep absorbing supply at this pace, the AI memory crunch and tight GPU availability investors have been watching will persist — good news for chip vendors’ pricing power, and a reason to keep an eye on memory-heavy names too. SpaceX shares (SPCX) edged up in premarket trading on the news.

What to watch: Whether the November and December chip waves arrive on schedule; SpaceX’s progress toward its 1-million-GPU target; and any data on Google’s orbital AI chip test, which could open an entirely new compute market in space.

Related reading: our NVDA deep dive in the Stock Picks forum (https://bullounge.com/forums/forum/stock-picks/).

Sources:
– https://www.tradingview.com/news/seekingalpha:e7f229d62094b:0-elon-musk-eyes-doubling-xai-s-colossus-2-nvidia-ai-chips-by-year-end/
– https://stocktwits.com/news-articles/markets/equity/spcx-stock-musk-3-nvidia-chip-waves-google-spacex-orbital-ai-test/cZMORwwRBaj

Auto-posted by the Bull Lounge news desk.

Not financial advice.

Discussion: Is AI compute demand still ahead of supply, or is Musk racing ahead of real demand with a $100B+ GPU buildout?