Amid SpaceX IPO, Elon Musk wants to send 1 million AI satellites to space

• The proposed AI satellites are much larger than the current Starlink satellites but are expected to be less complex.
• Demonstration launches for the AI satellites could begin by late 2027, with deployment starting as early as 2028.
• The project coincides with SpaceX's record-breaking initial public offering, which aims to fund these ambitious ventures.

Billionire entrepreneur Elon Musk wants SpaceX to put up to a staggering 1 million so-called AI satellites into space – beginning in as little as two years.

The satellites, which would use artificial intelligence as part of Musk's lofty goal of operating orbital data centers, are not only way more numerous than the satellites SpaceX has placed in space under its Starlink business, but much bigger.

Days after SpaceX submitted a filing to the Federal Communications Commission with information on the plan, Musk, the company's chief executive, sat down for a video interview to offer even more details.

While Musk periodically offers updates on where he see SpaceX going, this particular conversation on the eve of SpaceX's highly-anticipated public offering may have been a way for the tech mogul to further entice investors.

After all, Musk and SpaceX will have to rely on the new public stock to fund the company's ambitions for interplanetary spaceflight and artificial intelligence.

Here's what to know.

Elon Musk wants SpaceX to put 1 million AI satellites in orbit

SpaceX has requested permission from regulators to launch up to 1 million AI satellites into space, which would operate orbital data centers built and deployed by the company.

Musk, the chief executive of SpaceX, believes orbital data centers to be the most efficient method to run artificial intelligence systems on Earth. Comparatively, Musk has said, ground-based data centers are too costly, take up too much space and are detrimental to the environment.

The objective was central to SpaceX's decision to fold its artificial intelligence startup known as xAI under its banner earlier in 2026. Best known as the maker of the Grok chatbot, xAI would be crucial in the development of the space-based technology.

How many Starlink satellites are there?

For comparison, SpaceX has launched about 10,000 Starlink broadband internet satellites since 2019 into a constellation in a region close to Earth's atmosphere known as low-Earth orbit.

But in a video posted June 8 on Musk's social media platform X – acquired in 2022 when it was known as Twitter – the tech mogul downplayed concerns that the AI satellite venture would lead to further orbital overcrowding.

“Space is really big so it’s not like space is gonna get crowded,” Musk said, bucking reports that too many satellites in space create safety concerns. “If you look at it relative to the Earth, the satellites are so tiny you can’t even see them.”

What are AI satellites?

Spanning 230 feet and delivering 120 kilowatts of average compute power, the satellites are expected to draw on hardware already built for Starlink satellites.

The first generation of the satellites, known as AI1, would use "a lot of solar cells," as well as radiators and high-speed laser links for communication, Musk explained.

“There’s not some magic that’s necessary that doesn’t exist for AI satellites,” Musk said. “A lot of this is technology we’ve already made.”

Crucially, though, Musk said the AI satellites should be less complicated than Starlink, even though they're much bigger.

When will SpaceX launch AI satellites?

Demonstration of AI satellite launches could begin by late 2027, ahead of the "as early as 2028" timeline for deployment disclosed in its IPO filing, Reuters reported, citing two anonymous sources. While the IPO filing said orbital data center deployments could then begin as early as 2028, it did not distinguish between demonstration missions and commercial deployments.

SpaceX's Starship, the largest and most powerful rocket in the world, would be central to that timeline. While the latest 407-foot prototype of the rocket has only launched once in 2026, Musk said he expects the rocket to become fully reusable in 2026 and reach orbit for the first time since testing began in 2023.

A new manufacturing facility called Gigasat in Bastrop, Texas, is also expected to be operating by the end of 2027, Musk added.

What time does SpaceX go public? IPO launches today

Musk's announcement comes as SpaceX made its highly-anticipated initial public offering Friday, June 12.

The move means the commercial spaceflight company is now a public entity in which anyone can buy stock and invest. Those 555.5 million SpaceX shares cost $135 each.

SpaceX, which is now trading on the Nasdaq Exchange, is raising $75 billion, making it the largest IPO in stock market history and valuing the company at more than $1.75 trillion. The funds will support Musk's grand ambitions for SpaceX to not only begin its orbital data center venture, but potentially launch human interplanetary missions, beginning with Mars.

IPO could make Elon Musk world's first trillionaire. What is his net worth?

Musk is already the richest person on the planet with an estimated net worth of $793 billion. But the record-breaking IPO for SpaceX could see his worth rise by about 26%, making him the world's first trillionaire.

For context, that means Musk could spend $1 million a day for 2,700 years.

Contributing: Alberto Cuadra, George Petras, USA TODAY; Reuters

Eric Lagatta is the Space Connect reporter for the USA TODAY Network. Reach him at [email protected]