Elon Musk joins SpaceX with xAI
The acquisition of XAI could boost SpaceX’s plans to launch a million-strong satellite constellation that would act as an orbital data center network.
Kevin Lamarque/Pool/Getty Images
Elon Musk’s SpaceX has acquired xaiThe artificial intelligence start-up behind the chatbot Grok is also owned by a tech billionaire. The move consolidates several of Musk’s major ventures, bringing his rockets, social media company X, Grok and SpaceX’s satellite internet subsidiary Starlink under one umbrella.
The merger could boost Musk’s plans to power the next generation of AI from space using an orbital data center made up of one million satellites. It also increases the value of the combined unit. $1.25 trillion reported.
“Current progress in AI is dependent on large terrestrial data centers, which require enormous amounts of power and cooling,” reads a memo signed by Musk and posted on SpaceX’s website on Monday. “Global electricity demand for AI cannot be met by terrestrial solutions, even in the near term, without causing hardship on communities and the environment.”
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The memo details SpaceX’s still-in-development Starship, which Musk has claimed will one day be able to launch per hour, each carrying up to 200 tons of material into orbit. But Starship’s ability to launch satellites into orbit remains largely unproven, and development of the spacecraft is behind schedule. And it’s unclear what form SpaceX’s proposed satellites will take.
Regardless of how SpaceX plans to launch and operate its orbital data center network — the firm has offered very few details — the idea has one major advantage over Earth-based facilities: an abundance of solar power. “It’s always sunny in space!” Musk wrote.
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