SpaceX Shares Plunge 12% on Surging AI Spending

SpaceX shares tumbled 12% after reports emerged of a sharp increase in the company's spending on artificial intelligence initiatives requiring massive capital outlays. The decline dragged down other publicly traded space companies, whose stocks also posted losses during the session. Analysts note the market is growing more cautious about the payback period for large-scale AI infrastructure investments made by tech and space firms alike. The move adds fresh uncertainty to a sector already seen as capital-intensive and reliant on long-term contracts. Investors will likely watch closely for further management commentary on cost structure and the timeline to profitability for these new ventures.