Summary

• The next frontier for data centers is space, driven by power constraints and environmental impact on Earth; individual satellites currently produce kilowatts, but the goal is megawatts.
• Launch capacity is the single critical bottleneck ("the moat") for the space economy; demand for launch far exceeds supply, even with the advent of SpaceX's Starship.
• Hardware in space follows a 5-year replacement cycle (similar to iPhones) due to chip obsolescence, creating a recurring revenue model for launch providers rather than a one-time infrastructure build.
• Hyperscalers are actively seeking "unique data" residing in space to train Large Language Models (LLMs), as terrestrial data sources become saturated.