Major tech companies are exploring the potential of building data centers in space. (Photo: Starcloud)
“From a proof concept, it's already there,” said Krishna Muralidharan, an engineering professor at the University of Arizona, who argues that the idea of deploying data centers in space is far from science fiction. He expects commercial operations to emerge within the next decade.
Muralidharan envisions a “space-based data center” composed of satellites and nanosatellites, equipped with computing technologies and optical systems to enable data storage, communication, and transmission. Power demand could be met through solar energy harvested along satellite orbits.
Tech companies race to build computing infrastructure in orbit
The concept has captured the attention not only of researchers but also major technology firms, which have begun revealing their own plans. On Nov. 4, Google announced “Project Suncatcher,” an initiative to deploy constellations of satellites equipped with high-performance processors that can work together to perform large-scale machine learning tasks in space.
According to Google’s research blog, solar panels can be up to eight times more efficient in space than on Earth and benefit from near-continuous sunlight, significantly reducing the need for large batteries. The blog also cited academic studies projecting that by the mid-2030s, the cost of launching and operating space-based data centers could become comparable to the energy costs of terrestrial data centers on a per-kilowatt-per-year basis.
In November, U.S. startup Starcloud plans to launch a satellite carrying NVIDIA’s H100 GPU, boosting its computing capacity by a factor of 100. NVIDIA described the deployment as a “cosmic debut” marking a new milestone for space computing.
Starcloud CEO Philip Johnston said at a recent technology forum that, over the long term, it may make more sense to build data centers in space than on Earth. In a separate interview, he noted that space offers near-unlimited access to low-cost renewable energy, which could reduce lifetime carbon emissions from data center operations by a factor of ten.
Starcloud is building data centers in space. Thanks for highlighting our work, World Economic Forum @WEF pic.twitter.com/wNq77heSJh
— Starcloud (@Starcloud_Inc1) September 7, 2025
Space-based data centers could help solve power, cooling constraints
Starcloud expects to send its satellite into orbit aboard a SpaceX rocket. SpaceX founder Elon Musk also recently stated on social media that the company is deploying data centers through its Starlink network. The firm has said that more advanced third-generation satellites, offering improved transmission performance, are expected to launch in 2026.
Advocates argue that space-based data centers could sidestep the challenges facing terrestrial data facilities, including land acquisition, regulatory hurdles, and local community resistance, while also tapping into abundant solar energy. Cooling demands in orbit would be similar to those of existing space stations, which rely on exhaust radiator systems and maximize water recycling.
Muralidharan added that if the surrounding environment in space is sufficiently cold, cooling approaches could differ entirely: although water is scarce in orbit, water-based cooling may not even be necessary in such conditions.
Source: AFP, Arizona Luminria
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