- SpaceX’s FCC filing outlines a “SpaceX Orbital Data Center System” of up to one million satellites to meet surging AI computing demand.
- The proposed constellation could leverage near-constant solar power in orbit to cut energy costs and environmental impact compared with terrestrial data centres.
What happened: A cosmic concept for computing
SpaceX, the space technology company founded by Elon Musk and widely known for its Starlink broadband constellation, has filed a request with the U.S. Federal Communications Commission (FCC) seeking approval to launch as many as one million satellites that would operate as orbital data centres to serve artificial intelligence workloads.
Filed on 30 January 2026, the application describes a network of satellites in low Earth orbit operating between roughly 500 and 2,000 kilometres above the planet, arranged in narrow orbital shells designed to maximise sunlight exposure for solar power generation. According to the proposal, the satellites would harness near-constant solar energy and communicate via high-bandwidth optical links, relaying data among themselves and to Starlink ground stations, reducing reliance on terrestrial energy grids and cooling systems.
SpaceX characterises the vision as a transformative step in scaling compute capacity for AI, sidestepping the growing power, water and land constraints faced by conventional data centres on Earth.
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Why it’s important
If realised, the scheme would represent one of the most audacious shifts in the infrastructure underpinning artificial intelligence computing. By leveraging free, uninterrupted solar power in orbit, SpaceX’s proposal could dramatically reduce the energy costs of large-scale computing, traditionally one of the fastest-growing expenses for cloud and hyperscale operators. From a financial standpoint, analysts see such a bold pivot as part of SpaceX’s preparation for a potential IPO or strategic merger, possibly with Musk’s AI company, xAI, to finance expansive capital requirements.
The project also highlights intensifying competition: Starcloud, Inc., a U.S. space start-up, has already begun testing AI computing in orbit and is among a growing cohort exploring space data centres. Regulatory scrutiny over orbital debris, spectrum allocation and radio-frequency interference will be central hurdles as authorities weigh the proposal’s unprecedented scale against concerns about space congestion and long-term sustainability.
