SpaceX Shares Drop 17% After Musk Warns AI Hardware Shortfall Is 'Insane'
SPCX•SpaceX shares dropped 1% overnight and 17% this week after CEO Elon Musk warned the production shortfall was 'insane'. Apple raised MacBook prices by up to $300 and iPad rates by $150 to offset surging memory and storage costs fuelled by data center demand.
1. Shares Decline After Musk Warning
SpaceX shares fell 1% overnight and 17% this week after CEO Elon Musk warned that AI hardware production is far behind demand, calling the current shortfall 'insane' and urging a significant increase in output.
2. Apple Raises Device Prices
Apple increased the MacBook Neo entry model from $599 to $699, the MacBook Air 512GB from $1,099 to $1,299 and the MacBook Pro 1TB from $1,699 to $1,999. It also upped the iPad Air 128GB from $599 to $749 and the iPad Pro 256GB from $999 to $1,199, blaming surging memory and storage costs driven by AI data center expansion.
3. Industry-Wide Cost Surge and Infrastructure Race
Executives describe the component-cost surge as unprecedented, with Tim Cook calling it a 'hundred-year flood'. Capital spending by major tech firms is projected at $741 billion this year—up 75%—and could reach $8 trillion by 2032 as AI data centers drive demand for chips, memory, storage and related infrastructure.
