Alba Mora
WriterAn established tech journalist, I entered the world of consumer tech by chance in 2018. In my writing and translating career, I've also covered a diverse range of topics, including entertainment, travel, science, and the economy.
The New Space Era is full of billionaire tech CEOs. However, former Google CEO Eric Schmidt’s acquisition of a majority stake in rocket company Relativity Space surprised the industry. He has since provided an explanation for his decision.
Context. Schmidt recently made headlines after he bought a significant share of Relativity Space. Although the California-based startup has never successfully reached orbit, it has conducted a test launch of its 3D-printed rocket, the Terran 1. Additionally, it’s in the process of developing a partially reusable commercial rocket called the Terran R.
After the acquisition, Schmidt took on the role of CEO, a position he hadn’t held since leaving Google in 2011.
Data centers in space. Schmidt has become fixated on the energy and computing power required to support AI. Ars Technica connected the dots.
The concept of deploying data centers in space, powered by solar energy and kept cool without water, “probably explains why Schmidt bought Relativity Space,” according to journalist Eric Berger. Schmidt responded positively.
The unprecedented scale of AI. In an appearance before the House Committee on Energy and Commerce, Schmidt presented some striking figures:
“People are planning 10-gigawatt data centers… An average nuclear power plant in the U.S. is 1 gigawatt… One of the estimates that I think is most likely is that data centers will require an additional 29 gigawatts of power by 2027, and 67 more gigawatts by 2030. These things are industrial at a scale that I have never seen in my life.”
The financial potential of data centers. Since no country is currently prepared for this energy escalation, Schmidt envisions moving data centers off Earth. Although this idea is incredibly ambitious and challenging, space data centers could address energy constraints on Earth.
Reusable rockets are set to launch satellite constellations, and reliable solar photovoltaic power is available for part of the constellation. Meanwhile, there’s heat dissipation in the vacuum of space. As a result, data centers might prove to be more profitable or safer than those on Earth. However, many challenges remain, including the need for affordable launches and effective heat management.
The status of Relativity Space. Currently, Relativity Space is lagging behind competitors like SpaceX, despite being a much younger company. Relativity Space initially relied heavily on 3D-printed rockets but had to withdraw the Terran 1 after its debut flight failed to reach orbit.
Terran R is designed to compete directly with Falcon 9, having the capacity to launch 33.5 tons into low Earth orbit in disposable mode and 23.5 tons with a reusable first stage. Although its development has been inconsistent, the infusion of capital and leadership from Schmidt could revitalize the project and bring it closer to a first launch scheduled for late 2026.
Image | nosillacast
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