SpaceX acquires xAI to launch space‑based AI data centres: Elon Musk
Sandy Verma February 03, 2026 05:25 PM

MUMBAI: US-based entrepreneur Elon Musk said that his aerospace firm SpaceX has acquired his AI startup, xAI, and shared plans to scale AI compute in space by launching large constellations of satellites that act as orbital data centres.

“Launching a million tonnes per year of satellites generating kilowatts (kW) of compute power per tonne would add 100 gigawatts of AI compute capacity annually, with no ongoing operational or maintenance needs. Ultimately, there is a path to launching 1 TW/year from Earth, ” said Elon Musk in a statement.

The SpaceX founder said that space‑based AI is the only viable long‑term path to meet the vast power needs of advanced AI, arguing that near‑constant solar power in orbit can deliver compute at far lower cost than terrestrial data centres.

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