Catenaa, Sunday, November 08, 2026- Elon Musk says SpaceX will reduce its reliance on government contracts to just 5% of revenue over the next 12 months.
According to Bloomberg News, Musk said in response to a post on X that SpaceX revenue from government agencies will be less than 10% of the company’s revenue in Q4, compared with 16.6% in the most recent quarter.
Bloomberg News reported that the move would continue a steady downward trend for SpaceX, whose contracts with NASA and the Department of Defense once underpinned the company’s most lucrative partnerships.
“SpaceX increasingly relies on a handful of customers leasing its data center computing power, an AI neocloud business strategy Wall Street has recently soured on,” Bloomberg News said.
Government-related revenue accounted for approximately one-fifth of SpaceX’s sales in 2025. However, the expansion of its AI computing business has changed the company’s customer base. Bloomberg identified Anthropic as its largest single customer, accounting for approximately 34.5% of third-quarter revenue.
According to Bloomberg News, Musk previously predicted that NASA, historically SpaceX’s biggest customer, would make up only 5% of the company’s revenue this year.
Bloomberg News reported that SpaceX still has a key contract with NASA to send humans to the moon on its Starship rocket as early as 2028.
Musk’s comments came after Democrats won the US midterms, and according to Bloomberg News, a change in congressional leadership would increase the risk for companies that rely on government contracts.
According to Bloomberg News, Musk also reaffirmed SpaceX is on track to close out the year with $100 billion in annualized revenue, with the same measure soaring above $500 billion by the end of 2027.
SpaceX reported third-quarter net income of $4.4 billion, compared with a $1.1 billion loss a year earlier, as revenue surged 161% to $14.6 billion. The company’s October 20 earnings release said growth was driven primarily by its AI computing and satellite connectivity businesses.
SpaceX’s financial statement said that space revenues were $1.8 billion, up 84% sequentially and 6% year over year. Connectivity revenues were $5.2 billion, up 22% sequentially and 69% year over year, driven by consumer revenue up 26% sequentially and 57% year over year, and enterprise & government revenues up 18% sequentially and 91% year over year.
Bloomberg News reported that Musk also said he’d be open to buying a major wireless carrier if only for access to its valuable spectrum rights. SpaceX already acquired swaths of airwaves over the last year that will go toward its burgeoning hybrid satellite and ground-based wireless network.
