SpaceX Stock Dips: What's Going On?

Space Exploration Technologies Corp. (NASDAQ:SPCX) shares are falling Wednesday. Democratic wins in the midterm elections, including the Texas contest for governor, are potentially raising fears of limits on data center construction.

• SpaceX stock is showing downward bias. What’s the outlook for SPCX shares?

SpaceX Stock Falls as Midterm Results Hit Data Center Stocks

SpaceX stock is shrinking Wednesday, one of several AI infrastructure names hurt by the midterm results. The company has a direct stake in the outcome: it is headquartered in Texas, where it is building part of its multi-gigawatt data center capacity.

Democrats won big nationally, and CNBC notes the party is seen as favoring moratoriums on new data centers. Texas delivered the sharpest hit when Democrat Gina Hinojosa unseated Republican Gov. Greg Abbott after promising an immediate statewide halt to data center projects.

Elon Musk had bet heavily on the other side. He gave a record-setting sum, no less than $474 million, to the midterm cycle, including $224 million in Texas races that Abbott and Senate hopeful Ken Paxton both lost. Early Wednesday on X, Musk wrote, “Data centers in space looking pretty appealing right now,” pointing to plans he has floated for building AI infrastructure off the planet.

SpaceX Signs Qualcomm Deal for Starlink Mobile Base Stations

Separately, Qualcomm Inc. (NASDAQ:QCOM) announced a deal to supply the cellular equipment for the nationwide network of ground-based cell sites behind Starlink Mobile. The network will run on two Qualcomm Dragonwing chip platforms, the QRU100 and the QDU100, along with commercial-grade software for the lowest layer of signal processing.

Qualcomm said the platforms combine powerful radio and baseband components with energy-saving processors so SpaceX can build cell sites at scale.

The radio units for Starlink Mobile will carry 64 paths for sending signals and 64 for receiving them, a Massive MIMO design meant to boost coverage, capacity and the efficient use of spectrum. Qualcomm said it designed both for efficiency, getting more performance from each watt of power, which should help lower the cost of rolling the network out.

SpaceX plans to start deploying across the U.S. in 2027, with sites numbering in the tens of thousands over the multiyear agreement. Qualcomm also described the deal as a step toward a shared vision of 6G networks built around AI.

SPCX Shares Are Sliding

SPCX Price Action: SpaceX shares were down 1.85% at $138.69 at the time of publication on Wednesday, according to Benzinga Pro.

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