SpaceX has acquired xAI to create…

SpaceX has acquired xAI to create what it describes as a vertically integrated innovation engine spanning artificial intelligence, rockets, space-based internet, direct-to-mobile communications, and real-time information platforms. The company said the move represents a new phase in the shared mission of SpaceX and xAI, aimed at scaling advanced intelligence systems and extending human presence beyond Earth.

To address this, SpaceX outlined a long-term shift toward space-based AI. By leveraging near-constant solar energy in orbit and reducing operating and maintenance costs, satellites functioning as orbital data centers could dramatically scale computing capacity. The company described the deployment of a constellation of one million satellites as an initial step toward a Kardashev Type II civilization, capable of harnessing the Sun’s energy while supporting AI applications for billions of people and enabling a multi-planetary future.

Beyond Earth orbit, SpaceX said Starship’s capabilities, including in-space propellant transfer, would allow large cargo deliveries to the Moon. This could support permanent scientific and manufacturing operations, with lunar resources used to build satellites for further deployment into space. Using electromagnetic mass drivers and lunar manufacturing, the company said it could be possible to deploy 500 to 1,000 terawatts per year of AI satellites into deep space.