Elon Musk's Crazy Ambition: SpaceX Applies for Permission to Launch 1 Million AI Data Center Satellites Powered by Solar Energy

SpaceX has applied to the United States Federal Communications Commission (FCC) to launch up to 1 million solar-powered satellites that will serve as artificial intelligence (AI) data centers in Earth orbit.

The application marks SpaceX's most ambitious move so far in the global AI technology race, while expanding the dominance of Elon Musk's company in the space and high-powered computing sectors.

In a document filed with the FCC, SpaceX calls the satellite constellation the most efficient solution to meet the ever-increasing surge in AI computing needs. SpaceX even frames the plan in the long-term vision of human civilization.

"This is the first step towards a Kardashev II-level civilization, which is a civilization that is able to utilize all the energy of the Sun, while ensuring the future of humanity as a multi-planet species," SpaceX wrote in its submission.

The satellites are designed to serve as AI data centers in space, harnessing almost endless solar energy and releasing heat directly into the vacuum, eliminating the need for expensive cooling systems that are the main burden of data centers on Earth.

However, the plan to launch 1 million satellites is seen as very aggressive. A number of observers assess that the figure is unlikely to be fully approved and is more of a starting point for negotiations with regulators.

The Verge noted that the FCC had previously only approved an additional 7,500 Starlink satellites, while delaying permission for the other 14,988 satellites proposed by SpaceX.

Currently, according to the European Space Agency (ESA), there are around 15,000 man-made satellites orbiting Earth. This number has already triggered serious concerns about orbital pollution and the risk of space debris collisions.

SpaceX's filing also comes amid an increasingly competitive space industry dynamic. Amazon, for example, is asking for an extension of the deadline to the FCC to launch more than 1,600 of its satellites, citing limited availability of rockets.

In a separate report, Reuters said that this plan for an AI data center in space is becoming more relevant as news of a possible merger between SpaceX and xAI, Elon Musk's artificial intelligence company, which had previously joined the X platform.

Musk has publicly expressed his belief that the future of AI data centers lies in space.

"Building a solar-powered data center in space is clear. The cheapest place for AI in the future is space, and it will be a reality in two years, at least three years," Musk said at the World Economic Forum in Davos in early January 2026.

However, engineers and space experts warn that the concept of an AI data center in orbit is still in its early stages. Major challenges include exposure to cosmic radiation, the risk of space debris, the limitations of direct maintenance, and the still very high launch costs.

Deutsche Bank estimates that small-scale trials of new orbital AI data centers will begin in 2027 to 2028. If successful, a larger constellation, numbering hundreds to thousands of satellites, may only materialize in the 2030s.

SpaceX itself is said to be considering an initial public offering (IPO) that could potentially value the company at over $1 trillion. Some of the proceeds from the IPO are rumored to be used to finance the development of an AI data center in space.

If this plan is realized, Earth's orbit has the potential to become a new field of competition for global technology giants, from the United States to China, in the race for artificial intelligence supremacy.