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FCC Opens Review of SpaceX’s Orbital AI Data Center Plan After xAI Acquisition

The filing outlines laser‑linked satellites tied to Starlink, triggering a public comment process on feasibility and space safety.

Overview

  • Elon Musk confirmed that SpaceX has acquired xAI, with Reuters reporting indicative valuations of roughly $1 trillion for SpaceX and about $250 billion for xAI.
  • The FCC accepted SpaceX’s application for an orbital data‑center satellite system and opened a public comment window through March 6, stressing that acceptance does not constitute approval.
  • SpaceX’s proposal describes non‑geostationary satellites using high‑bandwidth optical inter‑satellite links and integration with Starlink to route and process data in orbit, with coverage noting potential scale up to one million satellites.
  • Reuters reports that SpaceX has discussed developing a Starlink‑connected phone as part of broader direct‑to‑device plans, with timelines and specifications unannounced and Musk calling such a device “not out of the question.”
  • Reporting ties the merger and orbital compute push to IPO positioning this year, with sources saying SpaceX generated about $8 billion in profit on $15–$16 billion in revenue in 2025, driven largely by Starlink.