Just now! Musk presses the "nuclear button," revealing a $1.25 trillion space computing empire. Will the energy narrative of $BTC and $ETH be completely reshuffled?

Today, the tech world was shaken by a piece of news. xAI has officially merged into SpaceX. This is not just a simple internal restructuring but an industry consolidation with a valuation reaching $1.25 trillion. Market analysts point out that this marks the realization of Elon Musk’s long-planned space computing empire, moving from blueprint to reality.

According to disclosed transaction details, the combined entity is valued at up to $1.25 trillion, with SpaceX valued at approximately $1 trillion and xAI contributing about $250 billion. After the deal closes, SpaceX will take over all of xAI’s assets, including the Grok model, a massive GPU cluster, and the social platform X, acquired last March. Sources reveal that SpaceX still plans to go public later this year, aiming to raise up to $50 billion, potentially setting a record.

Behind this deal is Musk’s deep insight into the bottlenecks of AI development. In an announcement, he bluntly stated that Earth’s electricity can no longer meet AI’s appetite. The explosive growth of large model parameters brings energy consumption and cooling issues, which are becoming physical barriers to AI progress. Musk’s solution is to send computing power into space.

SpaceX has submitted an application to the U.S. Federal Communications Commission, planning to launch up to 1 million satellites to build an “orbital data center” system. Space offers nearly unlimited solar energy and an environment close to absolute zero in deep space, making it an ideal energy and cooling solution. Musk predicts that in the next two to three years, space may become the lowest-cost location for generative AI computing power.

Looking at the bigger picture, we see Musk weaving a vast web covering the entire industry chain. SpaceX handles energy and launches, Starlink manages connectivity and transmission, the X platform provides data and access points, while Tesla and Optimus humanoid robots serve as intelligent terminals on the ground. This is an unprecedented vertically integrated closed loop.

However, this grand interstellar narrative is not without shadows. Technically, cosmic radiation damages delicate chips, satellite maintenance costs are high, and data transmission delays are engineering challenges yet to be solved. Financially, although SpaceX expects revenue of $15 to $16 billion and profits around $8 billion in 2025, the $1 billion monthly cash burn of xAI could become a burden on its IPO journey.

Regulatory risks are also significant. A business entity controlling rockets, satellite networks, global social platforms, and top-tier AI models simultaneously will inevitably attract strict scrutiny from regulators worldwide. Antitrust and data security challenges will follow.

No matter how sci-fi the concept of space data centers sounds, it reveals an irreversible trend: the insatiable hunger for AI computing power is forcing humanity to redefine infrastructure boundaries. Moving from Earth to space may be an inevitable direction for computing development. The outcome of this high-stakes gamble can only be revealed with time.

Follow me: Get more real-time analysis and insights on the crypto market!

#GateSquareCreatorSpringIncentive #WhenWillBTCRebound? #StrategyBitcoinHoldingsTurnLosses

#WhiteHouseCryptoMeeting