In January, Elon Musk’s SpaceX filed an application with the US Federal Communications Commission to launch up to one million data centers into Earth’s orbit. The goal? To fully unleash the potential of AI without triggering an environmental crisis on Earth. But could it work?

SpaceX is the latest in a string of high-tech companies extolling the potential of orbital computing infrastructure. Last year, Amazon founder Jeff Bezos said that the tech industry will move toward large-scale computing in space. Google has plans to loft data-crunching satellites, aiming to launch a test constellation of 80 as early as next year. And last November Starcloud, a startup based in Washington State, launched a satellite fitted with a high-performance Nvidia H100 GPU, marking the first orbital test of an advanced AI chip. The company envisions orbiting data centers as large as those on Earth by 2030.

Proponents believe that putting data centers in space makes sense. The current AI boom is straining energy grids and adding to the demand for water, which is needed to cool the computers. Communities in the vicinity of large-scale data centers worry about increasing prices for those resources as a result of the growing demand, among other issues.

In space, advocates say, the water and energy problems would be solved. In constantly illuminated sun-synchronous orbits, space-borne data centers would have uninterrupted access to solar power. At the same time, the excess heat they produce would be easily expelled into the cold vacuum of space. And with the cost of space launches decreasing, and mega-rockets such as SpaceX’s Starship promising to push prices even lower, there could be a point at which moving the world’s data centers into space makes sound business sense. Detractors, on the other hand, tell a different story and point to a variety of technological hurdles, though some say it’s possible they may be surmountable in the not-so-distant future. Here are four of the must-haves we’d need to make space-based data centers a reality.

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