xAI burned $6.4B last year – SpaceX’s IPO filing shows why the money isn’t running out.

Elon Musk’s xAI has lost $6.4 billion from operating at just $3.2 billion in 2025, according to SpaceX’s IPO documents. And the losses are about to grow. SpaceX’s filing indicates plans to upgrade the Grok to “several trillion units,” a significant increase that would require significant investment.

Elon Musk merged his AI company xAI – which previously acquired his social network X (formerly Twitter) – with his rocket and satellite company. SpaceX in February before announcing that they would take over the combined companies this year. While AI competitors OpenAI and Anthropic are also looking for public demonstrations in 2026, SpaceX is expected to be one of the largest in history that will have a cost of $ 1.75 trillion.

The reservation is the first public presentation of xAI, and therefore X, financial statements. In 2024, xAI posted a loss of $1.56 billion on revenues of $2.62 billion. By 2025, losses reached $6.4 billion out of $3.2 billion, meaning that the gap between what xAI earns and what it spends is widening. Meanwhile, the competitor (and client) is Anthropic he says expects a 130% rise to $10.9 billion in the second quarter, which marks its first profit.

The jump in revenue from 2024 to 2025 came largely from “AI solutions and operating expenses” of $465 million, which includes $365 million in registration fees for X and Grok and $88 million in licensing fees. Another 116 million dollars came from sales.

Spending on the AI ​​sector increased from $12.7 billion in 2025 to $7.7 billion in the first quarter of 2026 alone. That’s an annual turnover of about $30.8 billion, more than doubling every year.

So far, the investment has led to a small but modest increase in the number of users. According to the filing, SpaceX recorded 117 million monthly users (MAUs) for Grok AI products as of March 2026, of which 550 million MAUs are for Grok and X combined. This means that one-fifth of the entire connected universe is using the Grok AI feature.

However, SpaceX wants to go to war with Grok; Next-generation AI is expected to grow to “several trillions of units,” which the filing describes as “a change in deep thinking and general intelligence.” It is an ambitious target, and one that is listed in the SEC’s record books.

It’s a target that will undoubtedly require a lot of money. SpaceX’s “expenditure” section refers to “our expansion AI calculates infrastructure.“For backup, xAI’s Colossus and Colossus II data centers – both of which came online in 122 days and 91 days, respectively – together provide 1 gigawatt of capacity. All of these are used to train Grok.” SpaceX says that having compute and integration directly helps to reduce the cost of all AIerck models and reduce their upfront costs. speed.”

Another way SpaceX can ease business fears about spending is to train and manage orbital data centers, which Musk has promised could be the cheapest alternative to data centers on Earth. The sci-fi vision may not materialize for several years. The document says that SpaceX wants to start sending its orbital AI satellites as early as 2028 – the first concrete time frame for the launch.

“The future of AI will be self-awareness and control over body mass,” the filing reads.