SpaceX has updated its IPO filing with the SEC, adding water availability as a critical risk factor for its AI data center operations. The amended document now explicitly states that data center buildouts are constrained by the “availability of power and water at economically feasible prices.” The company warns that “significant water resources may be required for cooling large-scale data center operations” and highlights risks from drought, competition for local water, and regulatory restrictions that could increase costs or delay expansion.
The filing also reveals that SpaceX may issue a “significant” number of shares in future transactions, potentially diluting existing investors. The company is seeking a record $1.75 trillion valuation and plans to list on Nasdaq under the ticker SPCX, with Goldman Sachs, Morgan Stanley, and other major banks as underwriters. The updated document integrates Elon Musk’s AI venture xAI, which includes the Grok model and the social platform X, into the core business alongside its rocket and satellite divisions.
The risks are set against a backdrop of heavy losses: SpaceX posted an operating loss of $2.59 billion in 2025, with the AI division alone losing $6.36 billion. Additional warnings cover ground accidents, satellite impairments, and the possibility of environmental litigation. Musk will retain control through Class B shares with 10 votes each, while public investors receive Class A shares with one vote.
