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Musk Plans One Million Solar-Powered Data Centre Satellites in Orbit

February 7, 2026

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Elon Musk has filed plans with the FCC to launch up to one million solar-powered satellites into orbit to serve as AI data centres, following the merger of SpaceX and xAI in a deal valued at one point two five trillion dollars. Experts warn the plan faces enormous technical, financial, and environmental hurdles.

SpaceX Files for Million-Satellite Orbital Data Centre Constellation

Elon Musk has unveiled one of the most ambitious infrastructure proposals in history: launching up to one million solar-powered satellites into low-Earth orbit to function as artificial intelligence data centres. The plan, detailed in a filing submitted to the Federal Communications Commission on the thirtieth of January twenty twenty-six, would place satellites at altitudes between five hundred and two thousand kilometres.

The SpaceX-xAI Merger

The announcement arrived alongside the completion of SpaceX's acquisition of Musk's AI venture xAI on the second of February, creating the most valuable private company in history at approximately one point two five trillion dollars. The merged entity combines rocket technology, the Grok chatbot, and the social media platform X under one corporate umbrella, with Musk arguing that Earth-based solutions simply cannot keep pace with AI's surging energy demands.

Technical Challenges Mount

Industry experts have raised significant concerns. Voyager Technologies CEO Dylan Taylor called Musk's two-year deployment timeline "aggressive," pointing to unsolved cooling challenges in the vacuum of space where all heat dissipation must happen via radiation. MIT professor Olivier de Weck warned that electronics must be radiation-hardened to guard against cosmic radiation that can cause "bit flips" on chips. Space debris expert Hugh Lewis cautioned that one million satellites would dramatically increase the probability of cascading collisions known as Kessler Syndrome.

The Financial Reality

Analysts at MoffettNathanson calculated the vision could require annual capital expenditure reaching five trillion dollars, roughly one-sixth of the United States GDP. SpaceX would need approximately three thousand three hundred launches per year, or nine per day, to reach deployment targets. Deutsche Bank anticipates the first small-scale trials no earlier than twenty twenty-seven or twenty twenty-eight.

Industry Reaction

AWS CEO Matt Garman dismissed the concept as "pretty far" from reality, stating there are not enough rockets to launch a million satellites. Meanwhile, Musk predicted orbital data centres will prove more cost-effective than terrestrial alternatives within two to three years, a timeline most experts dispute.

Published February 7, 2026 at 2:53am

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