"In 36 months, but probably closer to 30 months, the most economically compelling place to put AI will be space," Musk said. "It will then get ridiculously better to be in space. The only place you can really scale is space. Once you start thinking in terms of what percentage of the sun's power you are harnessing, you realize you have to go to space. You can't scale very much on earth."
"If you say five years from now, I think probably AI in space will be launching every year the sum total of all AI on earth," Musk said. "Meaning, five years from now, my prediction is we will launch and be operating every year more AI in space than the cumulative total on earth."
Space offers a dramatically more scalable power solution for AI due to far greater solar energy availability and fewer land constraints. Solar panels in orbit are more efficient and can be cheaper to produce because they require less weatherproofing and glass. Cooling challenges for data centers are reduced in space, and terrestrial energy and turbine manufacturing cannot be scaled rapidly enough to meet AI demand. These factors make orbital data centers economically compelling within about 30–36 months, with projections that annual launches of space-based AI capacity could soon exceed cumulative Earth-based AI capacity.
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