Tech Firms Focus on Building Data Centers in Space

Several tech firms in the U.S. are advancing efforts to construct data centers in space, powered by solar energy. Google has revealed its intention to launch satellites for this purpose in 2027. OpenAI and SpaceX have also expressed interest in undertaking similar projects.

These pioneering tech companies are looking to replace the current Earth-based data centers with alternatives located in space. The driving factor behind this ambition is to address two growing needs. First, data centers consume huge amounts of electricity and already, there are complaints that these facilities are muscling out other users of power and triggering a surge in utility bills.

Additionally, projections show that the future demand for power to be used by data centers is so huge that it is likely to be difficult to avail this power. Space-based data centers will rely on solar power that can be generated almost nonstop throughout the day or night.

The other resource needed in large amounts by Earth-based data centers is water. Equipment in data centers currently requires huge amounts of water for cooling purposes, and many locations already face water scarcity even before factoring in the added demand posed by the data centers being planned or constructed. In space, these facilities will not need to be cooled using water. Instead, the heat generated can be let go into space without putting added strain on water supplies.

Project Suncatcher, the code name of Google’s data center project planned for space, is scheduled for launch in the first half of 2027. The company announced that it plans to launch a pair of satellites equipped with Google’s own TPU AI semiconductors. Google says PV cells located in orbit can be up to eight times more efficient when compared to those here on Earth. The artificial satellites that they intend to launch will have TPUs and PV cells, and this combination will serve as a data center.

Reports say SpaceX’s plans for an initial public offering (IPO) are intended to raise funds to construct a data center in space. These plans haven’t been made public as yet, but news travels fast within the tech community in Silicon Valley.

While these tech giants are making plans to have data centers in orbit, Starcloud, a U.S.-based startup is already having AI semiconductors orbiting in space. Supported by Nvidia, the firm launched the H100 chip on a satellite weighing just 60 kg and AI models of Google are running on that space data center.

It is, therefore, only a matter of time before other tech titans like Amazon.com (NASDAQ: AMZN) join the fray and get their own data centers in orbit as the race for supremacy in the AI industry rises another notch.

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