Musk's xAI needs SpaceX deal for the money. Data centers in space are still a dream

Cristiana Gigina

Elon Musk said a primary reason for merging SpaceX with his artificial intelligence startup, xAI, is to more effectively build "orbital data centers." That's for a far-off future. For now, xAI has a much more pressing need: cash. In Monday's blog post announcing the combination of his two companies, Musk estimated that "within 2 to 3 years, the lowest cost way to generate AI compute will be in space." But xAI requires immense amounts of money to finance its massive infrastructure buildout as

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Elon Musk's SpaceX acquires xAI https://www.nbcnews.com - 02.02.2026 22:29