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techcrunch ai · June 27, 2026

SpaceX's orbital data center hype vs SoftBank's urgency reality check

softbank ceo masayoshi son criticized elon musk’s orbital data center plans, citing time constraints in the ai race. this highlights the immediate compute bottleneck facing labs.

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softbank ceo masayoshi son rejected elon musk’s vision for orbital data centers, stating that space-based infrastructure takes too long to develop to be relevant in the current ai battle. the critique contrasts with the industry's current scramble for compute, illustrated by spacex renting out its capacity and groq securing $650 million in funding to act as a neo-cloud provider. commentators noted the irony of son, known for wild bets, playing the skeptic while musk guarantees business for his own spacex satellites. the discussion underscores a growing divide between companies seeking immediate compute relief and those betting on unproven, long-term infrastructure plays.

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