Report: Google and SpaceX in talks to put data centers into orbit

Google and SpaceX are in talks to launch orbital data centers in space, reports The Wall Street Journal, citing sources familiar with the matter.

The potential deal comes as SpaceX gears up for its $1.75 trillion IPO later this year, selling investors on the idea that data centers in space will be the cheapest place to put AI compute within the next few years. It also follows SpaceX’s deal with Anthropic last week to use computing resources from xAI’s data center in Memphis, Tennessee, with the potential to work together on orbital ones in the future. (SpaceX acquired xAI in February.)