Google and SpaceX reportedly in talks to launch data centers into orbit

▼ Summary
– Google and SpaceX are in talks to launch orbital data centers, as SpaceX prepares for a $1.75 trillion IPO centered on space-based AI compute.
– Anthropic recently made a deal with SpaceX to use xAI’s Memphis data center, with potential future collaboration on orbital data centers.
– Google is also talking to other rocket companies and plans to launch prototype satellites by 2027 under Project Suncatcher.
– Elon Musk promotes orbital data centers as cheaper and immune to local backlash, but terrestrial data centers are currently far less expensive when including satellite construction and launch costs.
– Google invested $900 million in SpaceX in 2015, according to regulatory filings.
Google and SpaceX are reportedly exploring a partnership to launch orbital data centers into space, according to The Wall Street Journal, which cites sources familiar with the discussions.
This potential collaboration comes as SpaceX prepares for its $1.75 trillion IPO later this year. The company is pitching investors on the idea that space-based data centers could become the most cost-effective location for AI computing within the next few years. The news follows Anthropic’s recent deal with SpaceX last week, which involves using computing resources from xAI’s data center in Memphis, Tennessee, and leaves the door open for future orbital collaborations. (SpaceX acquired xAI in February.)
Google is also in talks with other rocket-launch companies. The tech giant plans to launch prototype satellites by 2027 under an initiative called Project Suncatcher, which was announced late last year.
Elon Musk has fueled enthusiasm for orbital data centers, claiming they are cheaper to operate. Supporters also note that space-based facilities avoid the local opposition that often plagues ground-based data center construction in the U. S. However, as TechCrunch reported recently, current terrestrial data centers remain far more affordable than their orbital counterparts once satellite construction and launch expenses are factored in.
According to regulatory filings, Google invested $900 million in SpaceX back in 2015.
TechCrunch has reached out to both Google and SpaceX for comment.
(Source: TechCrunch)




