In a move that signals a massive shift in the global AI race, SpaceX formally applied to the US Federal Communications Commission (FCC) on January 30, 2026, to launch a constellation of up to one million solar-powered satellites.
These satellites are designed to function as “orbital data centers” to handle the exploding demand for artificial intelligence (AI) compute power, bypassing the energy and cooling constraints currently plaguing terrestrial facilities.
1. Why Move AI into Orbit?
As ground-based data centers strain under the weight of AI workloads—consuming massive amounts of electricity and water—SpaceX argues that space is the ultimate “green” solution.
- Unlimited Energy: Satellites in Sun-Synchronous Orbit (SSO) can harness near-constant solar power (99% of the time) without atmospheric interference.
- Natural Cooling: The vacuum of space acts as a natural radiator, eliminating the need for the millions of gallons of water required for cooling terrestrial server farms.
- Low Latency: Operating in Low Earth Orbit (LEO) at altitudes between 500 km and 2,000 km, these data centers would use high-speed laser links to process data and relay results to Earth with minimal delay.
2. The “Kardashev II” Vision
The FCC filing describes the project in unusually grand terms, framing it as more than just a business expansion.
“Launching a constellation of a million satellites is a first step towards becoming a Kardashev II-level civilization—one that can harness the full energy output of its star.”
Elon Musk further stirred the pot on X (formerly Twitter), responding to the million-satellite news by writing: “Oops, did I say 1 million? I meant to say 1 billion.” While the one-million figure is likely a design ceiling for regulatory flexibility, it underscores SpaceX’s intent to dominate the “space-cloud” market.
3. Strategic Integration: SpaceX + xAI?
The timing of the filing has fueled rumors of a major corporate restructuring:
- The xAI Connection: Analysts suggest these orbital nodes are specifically optimized for xAI’s Grok models, providing a vertically integrated AI infrastructure that rivals Google and Microsoft.
- Starship Reliance: The project is entirely dependent on Starship, SpaceX’s fully reusable heavy-lift rocket, to achieve the required tonnage and low launch costs.
- IPO Narrative: With SpaceX considering a public listing in 2026, the “Orbital Data Center” concept provides a high-growth narrative beyond traditional satellite internet.
4. The “Kessler” Concerns
Not everyone is enthusiastic. The proposal has met immediate pushback from the scientific community:
- Orbital Congestion: There are currently only about 15,000 human-made satellites in orbit. Adding one million more increases the risk of Kessler Syndrome—a chain reaction of collisions that could render space unusable.
- Astronomy Interference: Astronomers have warned that a mega-constellation of this scale would “blind” telescopes and permanently alter the night sky.
- Regulatory Hurdles: The FCC has historically been cautious, recently deferring authorization for 15,000 of SpaceX’s proposed Starlink satellites. A million-satellite request is expected to face years of scrutiny.
Conclusion: A New Frontier for Compute
SpaceX’s one-million satellite proposal marks the end of the “terrestrial-only” era for AI. Whether it becomes a reality or serves as a starting point for regulatory negotiation, the move highlights a fundamental shift: the race for intelligence is now officially moving off-planet. If SpaceX can solve the debris and radiation challenges, the next generation of AI may very well be “born” in the stars.
