Google is in talks with SpaceX to launch AI data centers into orbit ahead of SpaceX’s expected blockbuster IPO

by | May 12, 2026 | Latest E-commerce News & Updates

Google is in discussions with SpaceX about a rocket-launch deal that would help Alphabet put AI data centers into orbit, with Google reportedly also in talks with other rocket-launch companies, according to The Wall Street Journal. Orbital data centers have been featured as a prominent selling point in SpaceX’s investor presentations ahead of its planned public listing this summer, which is expected to rank among the largest IPOs ever, and would put the two companies in competition if a launch agreement is reached. The talks come after Google revealed Project Suncatcher last November, an initiative targeting the launch of two prototype satellites before early 2027, while SpaceX has been moving to build out its orbital data-center business by seeking approval to orbit up to 1M satellites and signing a deal last week to deliver 300 megawatts of computing power and up to 220,000 Nvidia GPUs to Anthropic.

Paul Drecksler is the founder and editor of Shopifreaks, covering the most important stories in e-commerce.

Companies: Google

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