Shares of Google (GOOGL) are down today, even though the tech giant revealed “Project Suncatcher,” one of its boldest ideas yet. The plan is to launch solar-powered satellites equipped with AI chips (called TPUs) into space to handle machine learning tasks. Notably, Google hopes to launch two prototype satellites by early 2027 in partnership with Planet Labs (PL), a company that already operates a large network of satellites. This comes at a time when AI models continue to grow and require more power, something that Earth’s data centers are struggling to keep up with.
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By moving AI computing into space, Google hopes to tap into endless solar energy and escape the limits of Earth’s power grid. However, there are challenges. For instance, satellites in space are exposed to strong radiation, which can damage computer chips. Nevertheless, Google’s early tests suggest that its TPUs can survive space conditions better than expected. Its research, shared in a new preprint paper, explains how it will build and manage the satellites, test the chips, and keep everything connected.
Moreover, teaming up with Planet makes the project more credible, since Planet has years of experience deploying and operating satellites. If the plan succeeds, Project Suncatcher could completely change how companies think about AI infrastructure. This is because space has big advantages, such as unlimited power from the sun, no need for cooling, and no real estate costs. Therefore, a satellite network could eventually outperform today’s biggest data centers.
Is Google Stock a Good Buy?
Turning to Wall Street, analysts have a Strong Buy consensus rating on GOOGL stock based on 28 Buys and nine Holds assigned in the past three months. Furthermore, the average GOOGL price target of $306.06 per share implies 10.5% upside potential.
