China unveils orbital AI data centers and space tourism plans

Thursday 29 January 2026 - 10:20

By: Dakir Madiha

China unveils orbital AI data centers and space tourism plans

China has announced bold initiatives to launch space tourism and gigawatt-scale orbital data centers for artificial intelligence within the next five years, escalating its rivalry with the United States in what both view as the next arena for commercial and strategic supremacy. State media reported that the China Aerospace Science and Technology Corporation, the nation's leading space contractor, committed to building an intelligent space-based digital infrastructure as part of its 15th five-year plan spanning 2026 to 2030. This system aims to process Earth-generated data in orbit by integrating vast computing power, storage, and transmission bandwidth.

The move directly challenges SpaceX's ambitions to deploy solar-powered AI data center satellites in two to three years. Elon Musk highlighted at the recent Davos World Economic Forum that space would soon become the cheapest location for AI due to its unlimited solar energy. Industry leaders echo this vision, with terrestrial data centers straining under AI's enormous energy demands; Google plans test missions for orbital centers starting in 2027, while Amazon's Jeff Bezos and Nvidia's Jensen Huang back the shift to space computing.

Adding momentum, Chinese startup GuoXing Aerospace revealed it has deployed the world's first large-scale versatile AI model across an operational satellite constellation. Based in Chengdu, the company outlined a network of 2,800 satellites delivering 100,000 petaflops of inference computing by 2035. Meanwhile, the five-year plan includes suborbital space tourism flights, gradually advancing to orbital experiences, mirroring commercial models pioneered by SpaceX and Blue Origin.

These developments coincide with the opening of China's first Interstellar Navigation School at the Chinese Academy of Sciences, aimed at training experts in deep space exploration and propulsion. Official Xinhua news agency noted that the next 10 to 20 years present a critical window for breakthroughs in China's interstellar navigation capabilities.

China lags behind the US in reusable rocket technology, vital for slashing launch costs. December 2025 saw inaugural flights of the LandSpace Zhuque-3 and state-developed Long March 12A reach orbit, but both failed to recover their first stages. The China Aerospace Science and Technology Corporation stated these tests yielded essential engineering data. Last year, China set a record with 93 orbital launches deploying over 300 spacecraft, though SpaceX's proven reusable Falcon 9 maintains global dominance.