Starcloud trains first AI model in space using Nvidia H100 GPU, marking new era for orbital computing

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Washington-based startup Starcloud has successfully trained the first AI model in space using an Nvidia H100 GPU aboard its Starcloud-1 satellite. The company trained NanoGPT on Shakespeare's complete works and ran Google's Gemma model, proving that high-performance AI computing can function in orbit. This achievement addresses the AI industry energy crisis by tapping into limitless solar power.

Starcloud Achieves Historic Milestone with AI Model Trained in Space

Washington-based startup Starcloud has successfully trained the first AI model in space, marking a significant breakthrough in the push toward orbital data centers

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. The company's Starcloud-1 satellite, launched aboard a SpaceX Falcon 9 rocket on November 2, carries an Nvidia H100 GPU that has been used to train NanoGPT, a lightweight open-source model created by OpenAI founding member Andrej Karpathy

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. The model was trained on the complete works of Shakespeare, demonstrating that high-performance AI computing can function in the harsh conditions of low Earth orbit, approximately 325 kilometers above Earth

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Source: Digit

Source: Digit

Starcloud has also been running inference on Google's open-source Gemma model, effectively creating a chatbot in space

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. The satellite sent back a message reading: "Greetings, Earthlings! Or, as I prefer to think of you -- a fascinating collection of blue and green"

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. According to Starcloud CTO Adi Oltean, getting the H100 operational in space required "a lot of innovation and hard work" from the engineering team

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. This proof of concept for AI in space demonstrates that Large Language Models in space can perform the same complex tensor operations required for modern artificial intelligence.

Addressing the AI Industry Energy Crisis Through Space-Based AI Solutions

The achievement directly tackles the mounting AI industry energy crisis facing terrestrial data centers. Starcloud CEO Philip Johnston told CNBC that "anything you can do in a terrestrial data center, I'm expecting to be able to be done in space," citing energy constraints on Earth as the primary motivation

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. The International Energy Agency projects that electricity consumption from traditional data centers will more than double by 2030

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. Facilities on Earth also face water scarcity concerns and rising emissions, while AI compute infrastructure in orbit can harness uninterrupted solar energy without these limitations

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Starcloud plans to build a 5-gigawatt space-based data center powered entirely by solar panels spanning four kilometers in width and height

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. According to the company's white paper, such a system would outperform the largest US power plant while being cheaper and more compact than an equivalent terrestrial solar farm

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. "This is a significant first step toward moving almost all computing off Earth to reduce the burden on our energy supplies and take advantage of abundant solar energy in space," says Oltean

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Source: AIM

Source: AIM

Technical Challenges and Innovative Cooling Solutions for Orbital Data Centers

Putting a 700-watt Nvidia H100 GPU into orbit presented massive thermal challenges that required innovative engineering

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. One major challenge lies in developing a cooling solution, since the vacuum of space offers no air to dissipate heat through convection

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. Starcloud is eyeing an air-based or liquid-based cooling solution for its satellites, along with "the largest radiators deployed in space" to handle the heat

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. The company's white paper details plans for enormous cooling panels more than six square miles in area, using passive radiative cooling to achieve low coolant temperatures

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Beyond thermal management, the hardware had to be shielded from cosmic radiation that can flip bits in memory and corrupt the training process

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. The team implemented robust shielding and error-correction protocols to ensure the H100 could operate without data corruption

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. Other challenges include maintaining enough fuel to stay in orbit, avoiding collisions with space junk, and navigating questions regarding data regulation in space

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Growing Competition in Space-Based AI Solutions

Starcloud is far from the only entity exploring orbital data centers. Google recently announced Project Suncatcher, an initiative aiming to launch the company's in-house tensor processing units into orbit

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. Google CEO Sundar Pichai described space-based data centers as a "moonshot," with early tests using small machine racks on satellites planned for 2027 and potential mainstream adoption within a decade

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. Elon Musk announced in November 2025 that SpaceX would build orbital data centers using next-generation Starlink satellites, calling them the lowest-cost AI compute option within five years

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Musk stated that "Starship should be able to deliver around 300 GW per year of solar-powered AI satellites to orbit, maybe 500 GW," noting that at 300 GW per year, AI in space would exceed the entire US economy's electricity consumption of around 500 GW just in intelligence processing every two years

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. According to Bloomberg News, SpaceX is preparing for an initial public offering in 2026 to raise more than $25 billion at a valuation exceeding $1 trillion, with plans to use the proceeds to build space-based data centers

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. Amazon founder Jeff Bezos' Blue Origin is also pursuing similar concepts

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What This Means for the Future of AI Compute Infrastructure in Orbit

The refrigerator-sized Starcloud-1 satellite carries just a single H100 GPU, while terrestrial data centers on Earth are being built to house tens of thousands and even millions of GPUs

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. The resulting high costs and technical hurdles explain why the concept faces skepticism from some quarters

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. Critics have pointed out that logistical obstacles are immense, from concerns over economic viability to bandwidth limitations

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Source: PC Magazine

Source: PC Magazine

However, Starcloud is preparing a second satellite, Starcloud-2, that will feature even more GPUs, with plans to launch sometime next year and even offer access to customers

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. The startup, part of Nvidia's Inception program and an alumnus of Y Combinator and the Google for Startups Cloud AI Accelerator, argues that orbital platforms can be scaled almost indefinitely without the physical or permitting constraints faced on Earth

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. Philip Johnston emphasized the environmental stakes: "When Starcloud-1 looked down, it saw a world of blue and green. Our responsibility is to keep it that way"

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