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Google is in talks with SpaceX on orbital data center partnership

The discussions are tied to Google’s Project Suncatcher initiative announced last year.

byKerem Gülen
May 13, 2026
in Industry
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Google is in negotiations with SpaceX to collaborate on the development of orbital data centers, according to a report from The Wall Street Journal. This potential partnership would see the two companies, traditionally competitors, working together on the initiative.

Google’s Project Suncatcher, aimed at exploring the feasibility of space-based data centers, was announced last November. SpaceX, led by Elon Musk, has announced its merger with xAI in February, which includes plans to launch 1 million orbital data satellites. The Wall Street Journal also reported that Google is in talks with other rocket-launch companies and is collaborating with Planet Labs to design and build its satellites.

Both Sundar Pichai, CEO of Google, and Elon Musk see orbital data centers as an inevitable evolution in data management. Pichai stated in a November interview, “There’s no doubt to me that a decade or so away, we’ll be viewing it as a more normal way to build data centers.” Musk echoed this sentiment, referencing the merger and asserting that within three years, satellites would be the cheapest option for generating AI compute power.

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