SpaceX (SPCX) could take AI data centers into orbit, and Evercore ISI analyst Kutgun Maral sees a big advantage in that move. He believes orbital computing could give SpaceX a “significant advantage in both cost and speed to market” while avoiding the political pressure facing data centers on Earth.
Why Could SpaceX Move AI Computing Into Orbit?
Data center projects are facing more pushback across the U.S. Texas has paused as many as 1,800 projects for audits. Pennsylvania also requires local approvals before projects can move ahead. An Evercore-cited survey found that 75% of Americans would oppose a data center near them, up from 42% a year earlier.
This is one reason Evercore sees potential in SpaceX’s orbital computing plans. The company could put computing systems in orbit. They could run on solar power instead of new sites on the ground.
Evercore believes this could help SpaceX avoid some of the problems facing traditional data centers. The firm expects SpaceX to begin orbital compute deployments as early as 2028. It sees orbital capacity reaching 8 GW in 2029 and 76.9 GW by 2031.
Starship Is the Key
The plan depends on Starship, SpaceX’s large reusable rocket, to carry the computing equipment into orbit. Evercore estimates SpaceX would need about 909 launches in 2029, 2,121 in 2030, and 5,657 in 2031 to support its orbital computing plans.
That is a huge increase in launch activity. The plan also still needs to overcome technical and regulatory hurdles.
Even so, Evercore sees a potential advantage for SpaceX. Orbital data centers could let the company add AI computing capacity without having to build all of it on Earth.
What Is SPCX’s Stock Price Target?
SPCX stock has a Moderate Buy consensus rating on TipRanks based on 24 Buys, five Holds, and three Sells assigned after its IPO. The average price target for SpaceX is $232.35, implying an upside of 66% from the current price.
