Altman and Musk trade posts on space data center feasibility
Sam Altman and Elon Musk exchanged social media posts over the weekend, highlighting the gap between vision and reality for the space-compute business. Responding to Musk accusing him of being a scammer, Altman said, “homeboy you’re the one sellling [sic] public market investors on short-term space datacenters.” According to the source article, Altman is saying what many experts have concluded but public market investors seem to be ignoring: space data centers are not going to be a serious business anytime soon. SpaceX’s plans to launch a fleet of orbital data centers for AI inference tasks are a main driver behind the company’s 2-trillion-dollar valuation. However, subject-matter experts — including entrepreneurs behind other space data center startups, Google’s orbital compute project team, and engineers — generally agree that this will not make a big dent until much cheaper rockets and mass production of high-powered satellites are available. Musk’s answer relies on Starship, SpaceX’s huge new rocket, expected to make its 13th test flight as soon as July 16, but operational reusable flight is likely years away. SpaceX also conceded during its IPO road show that Starship may not be fully reusable in the near-term, requiring disposal of each second stage, which would hinder economical space data centers.
What’s reported
Key figures
Sources: TechCrunch
