Key Takeaways
- Former Google CEO Eric Schmidt acquired launch company Relativity Space.
- Schmidt confirmed speculation that he bought Relativity to support putting data centers into orbit.
- Growing AI requires massive amounts of power for data centers, raising environmental and infrastructure concerns on Earth.
- Space-based data centers could potentially use solar power and radiate heat efficiently.
- Relativity Space is developing the large Terran R rocket, suitable for launching heavy infrastructure.
- Schmidt is reportedly seeking more investment partners for Relativity.
Since acquiring Relativity Space a couple of months ago, former Google CEO Eric Schmidt has been quiet about his plans for the rocket company. Now, it seems his goal is becoming clearer: launching significant computing power into space.
This insight comes partly from Schmidt’s testimony before a House committee in April. He highlighted the immense and rapidly growing electricity demand driven by artificial intelligence. Data centers needed for AI, he noted, could require staggering amounts of power, potentially straining Earth’s energy grid.
Schmidt pointed out that AI tasks, like a ChatGPT query, use vastly more energy than simple web searches. He expressed concern that the energy sector isn’t ready for the projected surge in demand from data centers, which also consume large volumes of water for cooling.
Building on these comments, speculation arose that Schmidt might see space as the solution. An article on Ars Technica suggested that putting data centers in orbit, powered by solar panels and cooled by radiating heat into space, could be the motivation behind buying Relativity.
When this idea was posted on the social media site X, Schmidt himself replied with a simple “Yes,” seemingly confirming his ambitious plan.
Why Relativity? For a billionaire wanting dedicated access to space for heavy payloads, options are limited. SpaceX and Blue Origin are privately controlled by their founders. ULA’s Vulcan is expensive and booked, while Rocket Lab’s upcoming Neutron might be too small.
Relativity Space is developing the Terran R, a powerful rocket designed to lift heavy payloads (over 33 metric tons) to low-Earth orbit. If successful, it could be ideal for launching large infrastructures like data centers.
While Relativity has faced development hurdles, Schmidt’s investment provides crucial funding. According to the Ars Technica report, citing financial sources, Schmidt, whose wealth is substantial but less than Musk’s or Bezos’s, is actively seeking more partners to fund this vision.
Of course, launching data centers into space presents huge technical and economic questions. How large would they be? Where would they orbit? Can solar power meet their needs? Can heat dissipation work effectively? Is it financially viable?
Despite these challenges, Schmidt is tackling a real problem: the unsustainable demands AI places on Earth’s resources. Thinking big about solutions, even space-based ones, addresses a critical future need.
