The rivalry between Elon Musk and Jeff Bezos is shifting from rockets to AI infrastructure. Both entrepreneurs envision a future in which data centers no longer operate on Earth but in orbit around the planet, a market with potentially enormous value.
This is according to The Wall Street Journal. Blue Origin has been researching the technology needed to operate computing clusters in space for some time. Meanwhile, SpaceX is working on new Starlink satellites to carry AI hardware, part of discussions with investors who value the company at hundreds of billions of dollars.
The concept faces major technical hurdles. Satellites that run AI models must operate at a level currently achievable only in large data centers on Earth. Critics expect that costs, risks, and physical limitations in space will limit the business case for the time being. Proponents, on the other hand, point to advantages such as virtually unlimited solar energy and the elimination of restrictions on land and grid capacity.
Nevertheless, interest is growing. Google and Planet Labs want to launch two test satellites with AI chips in 2027. That mission should demonstrate that clusters of orbital systems can function as fully-fledged computing platforms. According to Google, thousands of satellites are needed for a one-gigawatt data center. Even if successful, there is still a long way to go to make the concept scalable and affordable.
Bezos also sees opportunities. During a meeting in Italy, he stated that data centers will eventually be more logical in space due to the constant availability of solar energy. Meanwhile, Blue Origin is continuing to work on New Glenn, the rocket designed to launch large numbers of satellites.
Interest extends beyond the big three. OpenAI CEO Sam Altman is said to have investigated whether his organization should acquire a launch company to bring AI capacity into space itself. Other players are also experimenting with prototypes for orbital computing power.
Thousands of satellites needed
The technical challenges remain considerable. Hardware must be protected against extreme temperatures and radiation, while data transport must be fast enough to stay competitive. At the same time, the need for thousands of satellites could further boost the space sector. A higher launch frequency would help rocket developers reduce costs, something SpaceX is already demonstrating with Falcon 9.
If AI computing power can be brought into orbit on a large scale, data center capacity could be detached from terrestrial infrastructure. For now, it remains an experiment, but the ambitions of large technology and aerospace companies show that this development is being pursued seriously.