Space Exploration Technologies Corp. · Q2 2026 call

Right now we deliver, call it, roughly 2,500 tons a year to orbit via Falcon. This is a big number by normal standards. The rest of the world, I think, delivers around 300 tons. We deliver 80%-90% of total Earth mass to orbit per year with Falcon. With Starship , our aspirations, and I think we will achieve these aspirations, are to deliver well over 1 million tons to orbit per year, and probably ultimately 10 million tons per year.

we remain the leading launch provider globally, with 78 total launches and 1,041 tons of mass to orbit delivered in the first half of this year, primarily allocated to our own internal Starlink missions, but with great customer missions as well.

During the second quarter, we added net more than 1.7 million Starlink subscribers globally, consumer. This reflects our best quarter of new customers to date, an increase from the 1.4 million we added during the first quarter. We achieved this by holding ARPU, which is the average revenue per user, stable at $66 per month compared to the first quarter.

As of June 30th, our constellation of operational Starlink broadband and mobile satellites in orbit grew to roughly 10,200, with our 9,600 broadband satellites delivering roughly 800 terabits per second of total downlink capacity.

Revenue growth accelerated across every segment. We narrowed our net losses by nearly half on a year-over-year basis, and we grew adjusted EBITDA meaningfully faster than revenue. Importantly, we significantly strengthened the balance sheet through our IPO and inaugural investment-grade bond offering.

For the space segment, revenue grew 55% sequentially and 29% year-over-year to $962 million, driven by a higher number of larger customer launches and a favorable customer mix. […] Space adjusted EBITDA was a loss of $205 million for the quarter, primarily reflecting these higher R&D expenses.

Starship aims to quadruple payload capacity and reduce launch costs by 10x compared to our Falcon 9 rocket, unlocking significant capabilities across all of our business seg ments.

Enterprise revenue is quite sticky. We have never lost an enterprise customer. […] we are only 10% penetrated in the aviation indu stry, which definitely represents a lot of headroom for revenue going forward.

There's a lot of enterprise customers, most enterprise customers, I'd say, that still have that maybe early Starlink experience where it was a little patchy. […] They realize that they can actually treat Starlink as a primary provider, not sort of as a backup provider. […] I would expect enterprise revenue to substantially exceed consumer revenue.

Our tentative target is to actually have 20 GW at the power and cooling level online by the end of next year. Now, I don't think we're going to achieve 20 GW , but we want to have a series of projects that cumulatively come to 20 GW by the end of next year. […] I would expect that we'd still probably have, at the power plant level, something close to 15 GW.

Our goal is to have far more power cooling and electrical equipment than we have GPUs. That's the logical thing to do, given the relative expense of GPUs versus balance of system.

Our understanding with NVIDIA is that we will receive a very significant percentage of their GPUs next year.

using robots on the Moon to scale up manufacturing on the Moon, which I know it sounds like super sci-fi right now, but it's going to happen, will enable us to build the mass accelerator on the Moon. […] We are going to land a lot of tonnage on the Moon. We're going to build the factories on the Moon.

to answer specifically on CapEx, I think you should probably think that the next two quarters are very similar to the current quarter from a CapEx level perspective. […] What we're seeing right now is a situation where we're able to deploy, specifically on the AI compute side, we're able to deploy capital in such a way that we're getting less than a one-year payback. It's almost like your capital is becoming almost an item that you would put otherwise in COGS because it's moving so quickly

we, assuming we receive regulatory approval to do so, will attempt to catch the ship with the tower on the next flight, which is tentatively scheduled for the end of this month. We expect the cadence of flights to be increasing rapidly, and probably a year from now, we will be doing at least one flight a day, possibly more.

if you apply a small amount of the engineering skill that goes into making gigantic rockets reach orbit on a regular basis reliably to terrestrial data centers, this is like, frankly, the New York Yankees going in and playing a little league team, and it is kind of ridiculous, frankly. The terrestrial data centers are a trivial problem compared to making gigantic reusable rockets, which are launched frequently.

if you say, what is my best guess for monetization per watt of, say, Rubin? My guess would be somewhere between $30 and $50. This is just a guess. […] What we are seeing with AI is that the intelligence per watt is increasing rapidly. That means the usefulness per watt is increasing rapidly.

it's really growth in all three of the business segments, but the biggest piece is, and we already talked about additional business we've already closed in the first couple of weeks of July on the AI cloud services side. Certainly, as you know, we've already announced some previous deals with Google and Anthropic that start to ramp either later this quarter or in October.

To be clear, the $100 billion ARR in December is not a question mark. That's what we'd achieve if we basically did nothing. I think it may be higher than that. It probably will be higher than that.

we do expect a very rapid increase in revenue from Starlink communications from the V3 satellite. Like I said, we're more than 10x the capability of the V2 satellite, and we'll be launching 10 times as many, and we have the direct-to-cell constellation going up as well. Some of you were looking at the historical growth of Starlink based on V2, but we have a step change, a massive step change happening with the V3 satellite.

We have 65 MHz of bandwidth available to us through the EchoStar spectrum, which gives massive increase in capability. Another way to look at it is we will also probably 10x the number of satellites. Simplifying, you could look at the Starlink mobile leveraging the next generation satellite and the EchoStar spectrum as being 100x better, 10x 10 better than what we've got right now.

The big three in the U.S., AT&T, Verizon, and T-Mobile, roughly between them, $600 billion a year. I anticipate us to be able to acquire quite a few of their customers because I think our service will be better. We will eliminate dead zones leveraging basically the satellites in orbit.