Why the economics of orbital AI are so brutal
SpaceX, Google, and Bezos are racing to build trillion-dollar orbital AI data centers.
Deep Dive
Elon Musk claims space will be the cheapest place for AI compute within 36 months, with SpaceX seeking approval for a million-satellite constellation. An xAI exec bet that 1% of global compute will be in orbit by 2028, a move backed by Google's Project Suncatcher. However, current analysis shows a 1 GW orbital data center costs $42.4B—three times more than its terrestrial equivalent, requiring massive tech and cost breakthroughs.
Why It Matters
This trillion-dollar space race could redefine global AI infrastructure and energy economics, but hinges on slashing launch costs.