SpaceX's data centers and Grok agents were more profitable than investors expected in third quarter of the year, as the company leaves its roots as a space company behind to focus on artificial intelligence, which now makes up 52% of its income. That number was driven by growth in all segments, but especially its renamed 'Super Intelligence' business line, which generated $7.5 billion in revenue from the recently acquired Cursor coding tool, Grok bot, and most importantly, the company's burgeoning neocloud business, which now boasts 1.7 GW of compute. The AI business generated $431 million in profit, which would have been higher without $1.2 billion in one-time stock-based compensation expenses related to the Cursor acquisition. The top-line revenue number was also boosted by about $1 billion in income related to the recovery of Bitcoin prices and unspecified related-party income that might be attributed to a SpaceX investment in another company. The growing revenue is balanced against total capital expenditures of $19.6 billion, as SpaceX continues to build out a second data center project, Colossus II, and increase investment in Starship, the heavy-lift rocket it sees as vital to deploying a new generation of Starlink satellites and developing orbital data centers. CFO Bret Johnsen said the company would spend $35 billion to $40 billion on new capital investments in the fourth quarter....

Founded in 2018 as a bitcoin miner that ran on excess natural gas from oil fields, Crusoe has since become one of the biggest builders of AI data centers, including a massive campus in Abilene, Texas, that supplies computing power to OpenAI. Boom Supersonic, which is developing a supersonic passenger jet called Overture, launched a new business last year to sell a version of the engine it's developing for that jet as natural gas-fired stationary power plants. Its Superpower turbine shares about 80% of the same parts with that airborne engine, called Symphony. Crusoe had signed on to be the first customer for this business, agreeing to spend $1.25 billion on 29 of Boom's 42-megawatt Superpower turbines. The first deliveries were supposed to begin in 2027. But that deal has since fallen apart, according to Boom Supersonic CEO Blake Scholl. On Friday, in a post on X, after congratulating Crusoe founders Cully Cavness and Chase Lochmiller on the company's recent raise, Scholl said the companies are no longer moving forward with the turbine launch partnership. Although he did note that other customers were in its pipeline....

Apple is being sued for alleged negligence regarding its App Store security measures. In a lawsuit filed on Friday in the U.S. District Court of Northern California, three plaintiffs claim they were tricked into downloading and installing a fraudulent crypto wallet app, leading them to collectively lose more than $1.8 million. The lawsuit centers on Apple's claim that it secures its App Store by reviewing apps before they go live to protect users from fraudulent and malicious apps. In this case, the plaintiffs downloaded an app called Sparrow Wallet, even though the official Sparrow Bitcoin wallet is not available on iOS. The plaintiffs transferred their Bitcoin to the fraudulent app, losing large amounts of the virtual currency, according to the complaint. Plaintiff James Ramirez lost about $875,000; plaintiff Christopher Ellis lost around $840,000, and plaintiff Jalen Delgado lost roughly $120,000. The complaint targets one of Apple's longtime competitive arguments: that its tight control over its App Store makes its platform safer than those offered by its rivals. The company has used this claim to push back against deregulation of the app ecosystem, including third-party app stores and sideloading....

Good morning & happy Thursday! Today we're diving into digital asset pioneer Coinbase, which is now replacing the crypto exchange model with a Financial Operating System for AI Agents (Coinbase's System Update with a focus on key products & launches, what does it all tell us & which competitors should worry the most + bonus deep dive into Coinbase's latest financials & how Anthropic wants to be the AI OS for Wall Street inside), and see if Cursor is really SpaceX's Instagram Moment (what's the deal really all about, how it compares to Facebook buying Instagram & what's next + bonus deep dive into SpaceX, and Anthropic, which just Told AI Founders Exactly What to Build in 2026 inside). So let's jump straight into the finnovative stuff '' The news '' While most of the market was debating Bitcoin price targets, digital asset pioneer Coinbase COIN 0.00%' just shipped its most ambitious product wave in the company's history: tokenized 1:1-backed U.S. equities, an SEC-registered AI financial advisor, agent wallets with programmable guardrails, pre-IPO perpetuals for SpaceX, and crypto-backed mortgages....