SpaceX
SpaceX Starlink becomes first US mega-constellation to gain FCC approval
Sans fanfare, the Federal Communications Commission (FCC) has made SpaceX the first US-based entity authorized to launch and operate a massive broadband internet satellite constellation in Low Earth Orbit (LEO).
The Starlink constellation authorization comes a bit less than five weeks after SpaceX launched its first two prototype communications satellites as co-passengers with the Spanish PAZ imaging satellite. CEO Elon Musk confirmed that they had safely made it to orbit and were communication with ground control in Hawthorne, CA, but SpaceX’s lips have remained sealed beyond Musk’s brief mention.
First two Starlink demo satellites, called Tintin A & B, deployed and communicating to Earth stations pic.twitter.com/TfI53wHEtz
— Elon Musk (@elonmusk) February 22, 2018
Unofficially, sources in the loop were told that Musk forwarded a memo to all hands soon after launch, confirming that the Starlink prototypes had successfully sent their “Hello, world” message to ground control. In the month since launch, the Tintin twins appear to have both raised their orbits slightly, suggesting that their propulsion systems were/are at least partially functional. Per FCC licenses for the experimental satellites, the Tintins are expected to eventually raise their orbits from 500km to approximately 1100km over the course of testing, maneuvering that would require their SpaceX-designed ion propulsion modules to function properly.
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- SpaceX’s first Starlink prototypes launched in late February aboard a flight-proven Falcon 9 booster. (Pauline Acalin)
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- SpaceX’s Starlink satellite constellation efforts could provide the company with valuable experience that can be applied around Mars. (unofficial logo by Eric Ralph)
Gwynne Shotwell, COO of SpaceX, gave an official statement on the FCC’s authorization of Starlink, reiterating the company’s awareness of a huge amount of work ahead of any operational constellation.
“We appreciate the FCC’s thorough review and approval of SpaceX’s constellation license. Although we still have much to do with this complex undertaking, this is an important step toward SpaceX building a next-generation satellite network that can link the globe with reliable and affordable broadband service, especially reaching those who are not yet connected.”
As the SpaceX’s first foray into true electric propulsion and dedicated communications satellites, not to mention an array of cutting-edge technologies (optical/laser-based interlinks, advanced antenna tech, and more) presumed to be on board, it’s fair to assume that the public silence is indicative of a heads-down work ethic while Starlink engineers and technicians get a handle on the tasks before them and learn volumes about the manufacture and operation of advanced satellites. If they were to occur, failures or serious problems with these first two prototypes would, in fact, benefit SpaceX and strengthen all future prototype testing efforts, ultimately resulting in a more successful final product and happier customers in the long term.
SpaceX’s first two Starlink prototype satellites are pictured here before their inaugural launch, showing off a thoroughly utilitarian bus and several advanced components. (SpaceX)
Although the FCC’s approval carries with it a number of conditional requirements of SpaceX, it is all but guaranteed that SpaceX will be able to satisfy those conditions and ensure that Starlink remains authorized, barring any significant and unforeseen legal challenges. Of those conditions, the most significant condition of note relates to a request for additional information from SpaceX on the company’s end-of-life and deorbit practices in order to guarantee that the constellation’s 4,000+ satellites do not become a space debris risk. The most serious threat to Starlink as it stands proposed today is the FCC’s decision to deny SpaceX a waiver for the requirement that 50% of any given LEO internet constellation must be launched six years after approval. In the case of the 4400+ satellite Starlink constellation, this would require SpaceX to launch more than 30 satellites a month for every month between now and March of 2024. Thankfully, the FCC approval acknowledges that it will reconsider SpaceX’s request for a waiver of this requirement in the future, once the design of Starlink has been finalized.
Correction: While the FCC’s final license grant appeared to deny a waiver requested by SpaceX for the requirement of launching 50% of the constellation within six years of licensing, the FCC has in fact already reconsidered this requirement [PDF] for uniquely large constellations out of its sheer impracticality. SpaceX should thus have some added flexibility in the pace of its deployment of Starlink.
Limited internet service from SpaceX’s Starlink constellation is not expected to begin before 2020 at the earliest. The FCC’s announcement can be read in the news release here [PDF] or in the full application approval here [PDF].
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SpaceX has officially acquired xAI, merging rockets with AI expertise in what is the first move to bring Elon Musk’s companies under one umbrella.
On February 2, SpaceX officially announced the acquisition of xAI, uniting two powerhouse companies under a single entity, creating what the space exploration company called in a blog post “one of the most ambitious, vertically integrated innovation engines on (and off) Earth.”
🚨 BREAKING: Elon Musk has posted a new blog on SpaceX’s website confirming the acquisition of xAI pic.twitter.com/TFgeHGMpXc
— TESLARATI (@Teslarati) February 2, 2026
The deal will integrate xAI’s advanced AI capabilities, including the Grok chatbot and massive training infrastructure, with SpaceX’s rocket technology, Starlink satellite network, and ambitious space exploration goals.
The acquisition comes at a pivotal moment: xAI is valued at around $230 billion as of late 2025, and has been racing to scale AI compute amid global competition from companies like OpenAI, Google, and Meta. Meanwhile, SpaceX, which was recently valued at $800 billion, is facing escalating costs for its multiplanetary ambitions.
By combining forces, the merged entity gains a unified approach to tackle one of AI’s biggest bottlenecks: the enormous energy and infrastructure demands of next-gen models.
Musk wrote in a blog post on SpaceX’s website that:
“In the long term, space-based AI is obviously the only way to scale. To harness even a millionth of our Sun’s energy would require over a million times more energy than our civilization currently uses! The only logical solution therefore is to transport these resource-intensive efforts to a location with vast power and space. I mean, space is called “space” for a reason.”
Musk details the need for orbital data centers, stating that his estimate is that “within 2 to 3 years, the lowest cost way to generate AI compute will be in space.
This cost-efficiency alone will enable innovative companies to forge ahead in training their AI models and processing data at unprecedented speeds and scales, accelerating breakthroughs in our understanding of physics and invention of technologies to benefit humanity.”
SpaceX recently filed for approval from the FCC to launch up to one million solar-powered satellites configured as high-bandwidth, optically linked compute platforms.
These facilities would harness near-constant sunlight with minimal maintenance, delivering what the company projects as transformative efficiency.
Musk has long argued that space offers the ultimate solution for power-hungry AI projects. But that’s not all the merger will take care of.
Additionally, it positions the company to fund broader goals. Revenue from the Starlink expansion, potential SpaceX IPO, and AI-driven applications could accelerate the development of lunar bases, as Musk believes multiplanetary life will be crucial to saving civilization.
Critics question the feasibility of massive constellations amid orbital debris concerns and regulatory hurdles. Yet, proponents see it as a bold step toward a multiplanetary computing infrastructure that extends human civilization beyond Earth.
Elon Musk
Rumored SpaceX-xAI merger gets apparent confirmation from Elon Musk
The comment follows reports that the rocket maker is weighing a transaction that could further consolidate Musk’s space and AI ventures.
Elon Musk appeared to confirm reports that SpaceX is exploring a potential merger with artificial intelligence startup xAI by responding positively to a post about the reported transaction on X.
Musk’s comment follows reports that the rocket maker is weighing a transaction that could further consolidate his space and AI ventures.
SpaceX xAI merger
As per a recent Reuters report, SpaceX has held discussions about merging with xAI, with the proposed structure potentially involving an exchange of xAI shares for SpaceX stock. The value, structure, and timing of any deal have not been finalized, and no agreement has been signed.
Musk appeared to acknowledge the report in a brief reply on X, responding “Yeah” to a post that described SpaceX as a future “Dyson Swarm company.” The comment references a Dyson Swarm, a sci-fi megastructure concept that consists of a massive network of satellites or structures that orbit a celestial body to harness its energy.
Reuters noted that two entities were formed in Nevada on January 21 to facilitate a potential transaction for the possible SpaceX-xAI merger. The discussions remain ongoing, and a transaction is not yet guaranteed, however.
AI and space infrastructure
A potential merger with xAI would align with Musk’s stated strategy of integrating artificial intelligence development with space-based systems. Musk has previously said that space-based infrastructure could support large-scale computing by leveraging continuous solar energy, an approach he has framed as economically scalable over time.
xAI already has operational ties to Musk’s other companies. The startup develops Grok, a large language model that holds a U.S. Department of Defense contract valued at up to $200 million. AI also plays a central role in SpaceX’s Starlink and Starshield satellite programs, which rely on automation and machine learning for network management and national security applications.
Musk has previously consolidated his businesses through share-based transactions, including Tesla’s acquisition of SolarCity in 2016 and xAI’s acquisition of X last year. Bloomberg has also claimed that Musk is considering a merger between SpaceX and Tesla in the future.
In a groundbreaking new report from Reuters, SpaceX is reportedly discussing merger possibilities with xAI ahead of the space exploration company’s plans to IPO later this year, in what would be a blockbuster move.
The outlet said it would combine rockets and Starlink satellites, as well as the X social media platform and AI project Grok under one roof. The report cites “a person briefed on the matter and two recent company filings seen by Reuters.”
Musk, nor SpaceX or xAI, have commented on the report, so, as of now, it is unconfirmed.
With that being said, the proposed merger would bring shares of xAI in exchange for shares of SpaceX. Both companies were registered in Nevada to expedite the transaction, according to the report.
On January 21, both entities were registered in Nevada. The report continues:
“One of them, a limited liability company, lists SpaceX and Bret Johnsen, the company’s chief financial officer, as managing members, while the other lists Johnsen as the company’s only officer, the filings show.”
The source also stated that some xAI executives could be given the option to receive cash in lieu of SpaceX stock. No agreement has been reached, nothing has been signed, and the timing and structure, as well as other important details, have not been finalized.
SpaceX is valued at $800 billion and is the most valuable privately held company, while xAI is valued at $230 billion as of November. SpaceX could be going public later this year, as Musk has said as recently as December that the company would offer its stock publicly.
The plans could help move along plans for large-scale data centers in space, something Musk has discussed on several occasions over the past few months.
At the World Economic Forum last week, Musk said:
“It’s a no-brainer for building solar-powered AI data centers in space, because as I mentioned, it’s also very cold in space. The net effect is that the lowest cost place to put AI will be space and that will be true within two to three years, three at the latest.”
He also said on X that “the most important thing in the next 3-4 years is data centers in space.”
If the report is true and the two companies end up coming together, it would not be the first time Musk’s companies have ended up coming together. He used Tesla stock to purchase SolarCity back in 2016. Last year, X became part of xAI in a share swap.
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SpaceX officially acquires xAI, merging rockets with AI expertise
