Musk claims that apart from China, there are no competitors in hardware manufacturing and that he will use rocket technology to build data centers.

During the conference call announcing SpaceX's second-quarter earnings report, SpaceX founder Elon Musk stated in response to a question that SpaceX and Tesla are the two companies with the strongest hardware capabilities on Earth. "Except for China, and perhaps including China as well." Musk mentioned that the expertise accumulated in the rocket and satellite sectors would be applied to the large-scale construction of ground data centers, saying, "We found that even applying a small amount of the experience gained from manufacturing rockets to data center construction can yield significant benefits." Musk also indicated that future data centers are expected to have power supply and cooling capacity demands that will far exceed expectations. He further revealed that discussions have already taken place with NVIDIA, and he expects to secure a considerable portion of their GPU capacity next year.