SpaceX seeks FCC approval for solar-powered satellite AI data centers

Elon Musk’s SpaceX has asked U.S. regulators for permission to launch an ambitious new constellation of satellites designed to operate solar-powered data centers in orbit, according to a filing with the Federal Communications Commission.

The proposal envisions as many as one million satellites circling Earth and using near-constant sunlight to power artificial intelligence computing infrastructure. The FCC filing was posted on Friday, just a day after Reuters reported that SpaceX and Musk’s AI startup xAI are in talks about a potential merger ahead of a major public offering expected later this year.

Such a tie-up could accelerate SpaceX’s push to move data-center capacity into space, as Musk intensifies competition with AI heavyweights including Google, Meta and OpenAI.

Data centers form the backbone of modern AI systems but consume vast amounts of electricity. SpaceX argues that orbiting facilities could dramatically reduce both costs and environmental impact.

“By directly harnessing near-constant solar power with little operating or maintenance costs, these satellites will achieve transformative cost and energy efficiency while significantly reducing the environmental impact associated with terrestrial data centers,” the company said in its filing. The project would require formal approval from the FCC before moving forward.

While the figure of one million satellites far exceeds today’s reality—there are currently about 15,000 satellites in orbit—industry experts note that companies often seek approval for more spacecraft than they ultimately deploy to preserve design flexibility. SpaceX previously requested authorization for up to 42,000 Starlink satellites before beginning its rollout. The Starlink network now consists of roughly 9,500 satellites.

The plan also hinges on major cost reductions from Starship, SpaceX’s next-generation fully reusable rocket, which remains under development.

“Fortunately, the development of fully reusable launch vehicles like Starship that can deploy millions of tons of mass per year to orbit means on-orbit processing capacity can reach unprecedented scale and speed compared to terrestrial buildouts, with significantly reduced environmental impact,” the company said.

Starship has completed 11 test launches since 2023. Musk has said the rocket—key to expanding Starlink with more advanced satellites—is expected to carry its first operational payloads into orbit later this year.