� SpaceX buys xAI to push AI computing into orbit

� SpaceX acquired xAI in a share swap.
The combined company is valued at $1.25T. xAI owns X and develops AI systems.

� Elon Musk says AI progress is limited by Earth-based data centers. They need large amounts of power and cooling. Global electricity supply cannot scale without social and environmental costs.

� The proposed solution is orbital computing. Musk plans a constellation of up to 1M satellites acting as space-based data centers powered by solar energy. In 2025, SpaceX already put about 3,000 tons into orbit, mostly Starlink satellites, using Falcon rockets.

� Starship is the next step. Musk describes launches every hour with payloads of about 200 tons, enabling millions of tons per year in orbit. This capacity is positioned as the backbone for larger satellites, space manufacturing, and future off-Earth operations.

The merger ties AI scale directly to launch capacity.

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