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

TechCrunch AI · May 12, 2026, 5:30 PM · Also reported by 4 other sources

Key takeaways

  • Google and Space X 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 Space X 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.
  • Google is reportedly talking to other rocket-launch companies, as well.

Why this matters: a development in AI with implications for how people work, create, and decide.

Google and Space X 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 Space X 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 Space X s deal with Anthropic last week to use computing resources from x AI s data center in Memphis, Tennessee, with the potential to work together on orbital ones in the future. (SpaceX acquired xAI in February.)

Google is reportedly talking to other rocket-launch companies, as well. The company also plans to launch prototype satellites by 2027 as part of an initiative called Project Suncatcher, announced late last year.

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