Here's Why

Here's Why Outer Space Is the Next Frontier For Data Centers

Jan 16, 2026
Bruce Einhorn, a space editor and journalist, discusses the futuristic possibility of data centers in orbit as a solution to Earth’s land and energy challenges. He highlights the appeal of space due to local opposition on the ground and the logistics of data transfer, including radiation and waste heat management. Einhorn covers the costs involved and how reusable rockets could make this feasible. He mentions key players like SpaceX and Blue Origin, emphasizing that while test payloads exist, operational centers are still a long way off.
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INSIGHT

Space As An Alternative To Earthly Data Centers

  • Data centers underpin the AI boom and are growing larger and more power-hungry.
  • Putting them in orbit could sidestep local siting and environmental disputes on Earth.
INSIGHT

Key Technical Challenges For Orbital Centers

  • Major technical hurdles include rocket capacity, data links, radiation, and heat rejection in space.
  • Space data centers would need giant radiators and careful orientation to avoid sending heat toward Earth.
INSIGHT

Launch Cost Is The Primary Economic Barrier

  • Launch costs currently make space data centers expensive, but reusable heavy rockets could change the equation.
  • Lowering access-to-space costs is essential for economic viability.
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