Reuters • 1/31/2026 – 2/3/2026

SpaceX has acquired xAI, Elon Musk's artificial intelligence company, in a record-setting deal reportedly valued at $1.25 trillion. This acquisition aims to merge the capabilities of SpaceX and xAI, creating a vertically-integrated innovation engine that encompasses AI, rockets, space-based internet, and direct-to-mobile device communications. Musk described this merger as the beginning of a new chapter in their mission to enhance understanding of the universe and extend consciousness beyond Earth (The Verge, Electrek). In conjunction with this acquisition, SpaceX has submitted a request to the federal government for permission to launch a network of one million solar-powered satellites. These satellites are intended to function as orbital data centers, enhancing the capabilities of artificial intelligence and supporting the company's broader vision of advancing humanity towards a Kardashev II civilization, which would fully utilize solar energy (TechCrunch, BBC). This initiative reflects a significant step in SpaceX's ongoing efforts to expand its satellite internet services and technological infrastructure. The proposed satellite constellation is part of a growing trend in the tech industry to leverage space for data processing and connectivity. The establishment of these orbital data centers could play a crucial role in meeting the increasing global demand for high-speed internet and data services. This development highlights the intersection of space exploration and digital innovation, marking a shift towards a more interconnected and data-driven future (BBC, Scientific American).
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