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Report Says SpaceX Plans to Launch Space Data Center Test by Late 2027



Reuters reported Tuesday that “two people who attended investor presentations” ahead of the SpaceX IPO have leaked exciting news about SpaceX’s plan for AI data centers in space: There will supposedly be a tech demo launched by the end of next year. That’s super soon when you consider the company has also said in its S-1 filing (also according to Reuters), that the related initiatives “involve significant technical complexity and unproven technologies, and may not achieve commercial viability.” Gizmodo is not a source of investment advice, but it seems like if you’re looking for a clear picture of a company’s proximity to a technological breakthrough, if that company is on the verge of an IPO, it might just be offering less than reliable predictions.

For instance, if you look at the Lyft prospectus, released just before that rideshare company’s 2019 IPO, you can read an awful lot about autonomous vehicles. The company said it was building a “world-class autonomous vehicle system at (its) Level 5 Engineering Center, with the goal of ensuring access to affordable and reliable autonomous technology.” The prospectus later says:

“Within 10 years, our goal is to have deployed a low-cost, scaled autonomous vehicle network that is capable of delivering a majority of the rides on the Lyft platform.” Almost exactly two years after the IPO, the aforementioned engineering division, Level 5, was sold to Toyota for $550 million. For all anyone knows, Lyft may still roll out a network of AV’s—it hasn’t given up altogether—but it’ll be tricky to do it by 2029 without the engineering division purpose-built for that job. So tech companies in the midst of IPOs can be a bit blustery. Nonetheless, this is far from the most outlandish of Elon Musk’s hi-tech fever dreams (ahem). According to SpaceX’s own artists’ rendering, space data centers will be satellites—big satellites, but otherwise not too different from what you probably picture when you close your eyes and imagine a satellite: a 20-foot by 70-foot structure, mostly made up of two solar panel “wings,” with another panel in the middle housing the silicon needed to train and run AI models. As one of my Gizmodo colleagues noted last year, “the company does appear uniquely well-positioned to lay the groundwork for orbital server farms.”

Any given expert analysis of the SpaceX plan to put AI data centers in space generally coalesces around the same points: it’s not impossible based on existing technology, but it’s intricate and fraught with potential drawbacks. Moreover, success would not clearly be a slam dunk when it comes to competing with earthbound hyperscalers.



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A Farmer Donated Land For a Public Park and the City Sold It to a Data Center Developer for $10 Million



In Akira Kurosawa’s 1952 masterpiece, Ikiru, a lifelong bureaucrat in Tokyo’s Public Works Department is forced to reckon with the life he’s led and the legacy he’ll leave behind after a surprise cancer diagnosis reveals he has less than a year to live. It’s while the protagonist grapples with his impending death that he truly begins to savor living in ways he never had before. Inspired and reinvigorated, the man dedicates his final months of work and life to cutting through the red tape that had been hindering a group of concerned parents who wanted to drain the toxic cesspool their kids were forced to play in and build them a proper public playground in its place. With a BAFTA-winning performance by Takashi Shimura in the lead and a bittersweet-yet-hopeful message about what we leave to our children, it’s no wonder why Ikiru is consistently cited as one of the greatest films of all time. In what can only be described as a “reverse Ikiru,” a plot of land that had been deeded to a city with the stipulation it be turned into a public park is on track to be turned into an environment-destroying blight on the landscape after being sold to a data center developer. As reported by 404 Media, the City of Taylor, Texas, paid a paltry $10 in 1999 to accept a donation of almost 88 acres from the Bland family farm. According to documents reviewed by 404, the conditional language in the original deed granted the land to the “Texas Parks and Recreation Foundation, a Texas non-profit corporation, to be held in trust for future use as parkland by Williamson County, Texas.”

But in the years since, ownership of the property kept changing hands. Texas Parks and Recreation Foundation granted it over to a different non-profit called the Williamson County Park Foundation in 2003 before they gave it to the City of Taylor outright a month later. So far, so good. But in 2008, the city sold the land for $15,000 to the Taylor Economic Development Corporation (TEDC). It sat unused until last year, when the TEDC sold the plot to the company currently developing the data center, Blueprint, for a cool $10 million.

When news of the sale broke, locals were initially concerned for the usual reasons one might have when learning that a 135,000-square-foot facility—the sort now known to wreak havoc on small towns—is being built next door without their approval or input. But thanks to the sharp memory of Pamela Griffin, a City of Taylor resident who grew up playing in a lot next to the contested land, data center opponents were clued in to the deed’s park clause and the legal leverage that might afford their fight. Griffin recounted a childhood memory of a conversation between her father and Mr. Bland to 404.  “I’m thinking about giving this land for parkland because these kids need somewhere to play,” she recalled Bland saying.

When activists knocked on Griffin’s door last year and alerted her to Blueprint’s plans to erect the data center in her town with a population of just 16,267, she brought the park stipulation to their attention.  Following that lead and sifting through public records, the center’s opposition found documents that corroborated Griffin’s memory and revealed the land’s curious ownership history. The City of Taylor offers only a few sentences of vague assurances on its website to “address concerns” of those worried about the air, noise, light, and other potentially harmful emissions the proposed center might put out. They also say it’s pretty much a done deal and, even if they wanted to, there’s no reversing course on this project. “Can the City just say no to data centers?” asks one FAQ question. “In short, no.” The city’s executive director of community services, Daniel Seguin told 404 that Blueprint can just use the property for the center without city approval “because the property’s existing Employment Center zoning already allowed such a use.” He also claimed that the center would bring $30 million in tax revenue to the city over the next decade.

Griffin doesn’t buy this argument. She feels that, regardless of the changing of hands that occurred, the deed is pretty clear about what can be built on that land. “I keep trying to tell everybody,” Griffin explained “if they start messing with deeds in Texas? Allowing deeds to be not upheld? What’s going to happen to all of us?” It’s clear that Big Tech trying to circumvent a property deed in her state is nothing short of an existential fight for Griffin—one she’s willing to take up. She and her family have hired an attorney to fight the data center’s construction and give the land back to the community. Blueprint filed a motion to dismiss their initial suit, which the judge allowed. When Griffin’s lawyer asked for an injunction to stop further construction for the time it will take their case to make its way through the Third Court of Appeals in Austin, the judge denied it.

As Mr. Bland’s original benevolent wish for his land shows, life has the capacity to imitate the best of humanity exemplified in art. Unfortunately, our world is currently being shaped by people who seem outright hostile to both the arts and anything that would benefit the public over a shareholder. The art in Bland’s original vision has been stolen, chewed up, and regurgitated as AI slop. Perhaps if the people who okayed this outrageous data center deal and those in the city council and TEDC who seem uninterested in listening to residents or halting the center’s unjust construction would be making more humanitarian decisions if only someone had sat them down to watch the public-serving example set in Kurosawa’s classic. Even for those lacking the cognitive horsepower necessary to follow an old black-and-white movie with subtitles, it might not be too late to have a change of heart and do the right thing. Living, Ikiru’s 2022 English remake starring Bill Nighy, is rentable right now on most streaming platforms.



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Republicans Claim Anti-Data Center Movement Is a Chinese Psy-Op



A group of Republican lawmakers is demanding that the FBI investigate whether rising anti-AI sentiment among the American public is a foreign-influence operation led by China. “The Committee on Energy and Commerce writes to express our concerns regarding evidence that strongly suggests foreign influence campaigns targeting artificial intelligence development in the U.S.,” the lawmakers wrote in an open letter addressed to FBI Director Kash Patel and Trump’s Council of Advisors on Science and Technology co-chairs David Sacks and Michael Kratsios, requesting a briefing no later than June 18, 2026. In the letter, Kentucky Rep. Brett Guthrie, Pennsylvania Rep. John Joyce, and Ohio Rep. Bob Latta cite independent investigations that have allegedly found foreign adversaries, particularly China, “engaged in a coordinated effort to slow U.S. growth in AI development and the building of infrastructure supporting AI data centers.” The investigations were run by a think tank called the Bitcoin Policy Institute and an energy advocacy organization called Power the Future, whose self-described purpose is to fight pro-environment groups. The Bitcoin Policy Institute’s cited report also claims that Sen. Bernie Sanders, who calls for a moratorium on AI data centers, is in on this Chinese influence campaign because he hosted a panel earlier this year on “the existential threat of AI” featuring two professors from China, both of whom are leading figures in their fields.

The United States has been in the midst of an unprecedented AI infrastructure buildout that, since its inception and even more so after Trump’s executive order on AI, has been framed as a national security imperative. The argument, often touted by the AI industry itself as it vies for looser regulation, is that the United States is in a new age space race, this time towards building artificial superintelligence. The adversary now is China, whose AI industry is the biggest competitor to American Big Tech. Washington worries that if China reaches this long-imagined, highly advanced form of AI before the United States, Beijing could use the technology for military purposes. Though the United States and China are not in direct military conflict, tensions are high, particularly over territorial claims in Taiwan.

“America needs to be the most aggressive in adopting AI technology of any country in the world, bar none, and that is an imperative,” Nvidia CEO Jensen Huang told a crowd of Washington lawmakers late last year. “We have to encourage every single company, every single student, to use AI.” But things didn’t pan out as Huang and much of the rest of the AI industry intended. Over the past year, AI’s reputation has dramatically soured as the technology’s impact on mental health, the job market, and the environment gained recognition. Much of that backlash has manifested in local outrage over data center projects, with critics arguing that the massive facilities drive up utility prices, strain water supplies, and worsen noise and air pollution.

One major example is unfolding in Utah, where residents have been pushing back against a planned 40,000-acre data center projected to be one of the largest in the world. The owner of that project, Canadian millionaire Kevin O’Leary of “Shark Tank” and “Marty Supreme” fame, has claimed that local opposition to his project, which is set to consume more than twice the energy consumed by the entire state of Utah, has been driven by foreign influence campaigns run by the Chinese Communist Party. On Thursday, O’Leary partially caved to demands from local activists and Utah Governor Spencer Cox, saying he would shrink the proposed data center project by 75%.



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