Amazon, Google and Microsoft Are 'Absolute Jokes' Compared With SpaceX, Says Sequoia's Shaun Maguire

Key takeaways

• SpaceX’s speed and scale could redefine AI infrastructure, challenging established cloud providers and potentially delivering higher revenue than market consensus predicts.
• $731 billion 2028 revenue forecast
• $51.5 billion 2023 revenue estimate
• $336 billion consensus estimate

What happened

Sequoia partner Shaun Maguire publicly criticized Amazon, Alphabet, and Microsoft for lagging in building physical infrastructure, touting SpaceX as a far superior builder. He projects SpaceX could reach $731 billion in annual revenue by 2028 by leasing computing power to AI firms, up from $51.5 billion this year. SpaceX’s rapid construction record—launching its Colossus II cluster in 91 days versus the typical two‑year build for a 100‑MW data center—illustrates the speed advantage. Musk’s…

Why it matters

The comparison highlights a potential shift in the AI infrastructure market: if SpaceX’s faster build and lower costs materialize, it could undercut the traditional hyperscalers’ pricing and market share. Maguire’s $731 billion forecast far exceeds the $336 billion consensus, suggesting a sizable upside for SpaceX…

Short-term and longer-term

Short-term. Over the next few weeks, watch for any signs of construction delays or outages at SpaceX’s new facilities, as these could dampen the rally in its stock.

Longer-term. In the coming months, investors should assess whether SpaceX’s aggressive expansion translates into sustainable revenue growth.