Elon Musk once again set the internet on fire after reacting to reports about SpaceX’s latest filing with the U.S. Federal Communications Commission (FCC). On January 30, 2026, SpaceX submitted an application proposing up to one million satellites designed to operate as space-based AI supercomputers a concept the company calls “Orbital Data Centres.” Musk jokingly replied on X, “Oops, did I say 1 million? I meant to say 1 billion,” before clarifying that space is so vast that even a million satellites would be spread too far apart to see each other.
While the comment went viral, the idea behind it is serious and potentially revolutionary.
What Are Orbital Data Centres?
Unlike traditional satellite constellations such as Starlink, this project aims to move large-scale AI computing infrastructure into space. Instead of building massive data centers on Earth that consume huge amounts of electricity and water, SpaceX envisions solar-powered satellites using the vacuum of space for radiative cooling. This could eliminate many environmental and infrastructure challenges associated with terrestrial data centers.
In its FCC filing, SpaceX even framed the concept as an early step toward becoming a Kardashev Type II civilization, meaning a society capable of harnessing the total energy output of its star.
The Musk Ecosystem: SpaceX, Tesla, and xAI
The timing aligns with reports that Musk is exploring deeper integration between SpaceX, Tesla, and xAI. In this vision:
- SpaceX provides launch capability and orbital platforms via Starship.
- Tesla supplies battery and power storage technology.
- xAI runs advanced AI models like Grok on space-based hardware.
Together, this ecosystem could redefine how and where AI computing happens.
Why Space-Based AI Makes Sense
Musk argues that within two to three years, space could become the cheapest place to run AI workloads thanks to constant solar energy and minimal maintenance needs. It also bypasses zoning laws, environmental protests, and energy grid constraints that slow down Earth-based data center construction.
Additionally, the massive scale of the proposal may serve as a strategic opening position in negotiations with regulators and a bold narrative ahead of a potential SpaceX IPO later in 2026.
Concerns and Criticism
Despite the ambition, experts are raising alarms. Astronomers warn that a million satellites could worsen light pollution and disrupt ground-based observations. Space debris specialists fear Kessler Syndrome, where cascading collisions make orbit unsafe. Regulators are also skeptical the FCC recently approved only 7,500 of SpaceX’s requested 22,000 Starlink satellites.
Whether Musk’s orbital AI vision becomes reality or remains aspirational, it has already reshaped conversations about the future of computing, space infrastructure, and humanity’s next technological frontier.
