SpaceX Commits $60B to AI Push, Eyes Orbital Data Centers

On June 28, 2026, reports highlighted SpaceX’s $60 billion AI investments, including acquisitions of xAI and Cursor, positioning the company as a potential vertically integrated AI infrastructure provider akin to Amazon’s evolution into AWS. This follows June 27 coverage emphasizing major hurdles for SpaceX’s orbital AI data center concept, with Wood Mackenzie estimating $170 billion per gigawatt—over three times terrestrial costs—and requiring a 70% cost reduction to compete. Near-term AI power demand is expected to stay Earth-bound, boosting utilities like American Electric Power, which has secured 5.6 gigawatts of load via its Ohio tariff and offers a 2.8% dividend yield.