SpaceX and xAI Merger Aims to Advance Space-Based AI Data Centers Amid Competition with China
DATA AND AI INFRASTRUCTURE
A proposed merger between SpaceX and xAI aims to develop solar-powered, space-based data centers for AI computing, addressing rising energy costs associated with Earth-based facilities. Deutsche Bank forecasts initial deployments by 2027-28, with larger systems expected in the 2030s. This initiative comes amid increasing competition with China, which plans to establish its own space-based AI data centers and a cloud computing network by 2030.

Jan 30, 2026, 4:07 PM