Jakarta, INTI - Starcloud has secured US$170 million (approximately Rp2.87 trillion) in Series A funding, with a valuation reaching Rp18 trillion. The space computing startup company has ambitions to build data centers in space.
The funding, led by Benchmark and EQT Ventures, came just 17 months after its demo day, reflecting the high investor interest in the concept of space data centers as a solution for the future of computing.
This interest is driven by the increasing complexity and issues of building data centers on Earth, ranging from energy constraints, environmental pressures, to geopolitical barriers that make digital infrastructure expansion increasingly expensive and difficult. However, the orbital data center business model is still relatively new and challenging because the technology is not yet fully tested and requires significant investment, particularly for launch and operation in orbit.
Starcloud has Other Orbital Data Center Projects
So far, Starcloud has raised approximately US$200 million, or around Rp3.38 trillion, in total funding. The company also launched its first satellite in November 2025, equipped with an Nvidia H100 GPU for data processing in space.
This year, the company is preparing to launch Starcloud 2 with more advanced technology, including Nvidia Blackwell chips, blade servers from Amazon Web Services, and additional computing devices.
Moreover, the company is designing Starcloud 3 as a large-scale orbital data center with 200 kilowatts of power, weighing approximately three tons, and compatible with SpaceX's satellite dispenser launch system.
Starcloud CEO, Philip Johnston, is optimistic that this project can become the first cost-efficient orbital data center. He estimates that energy costs can be reduced to US$0.05 (around Rp845) per kWh, assuming commercial launch costs are around US$500 per kilogram.
However, the realization of this ambition is still highly dependent on the readiness of SpaceX's Starship rocket, which is not yet fully operational. Johnston estimates that commercial access will only be available in 2028 or 2029.
"If the launch is delayed, we will still launch a smaller version using Falcon 9," Johnston said.
Orbital Data Center Industry is Still Challenging
From a business perspective, Starcloud relies on two main models. First, selling processing capacity to other spacecraft in orbit, as Capella Space has done to process radar data. Second, in the long term, the company aims to build large-scale orbital data centers that could partially replace data centers on Earth, especially with the potential for future launch costs to decrease.
While the prospects are promising, the industry is still in its infancy. Currently, the number of advanced GPUs in orbit is only in the tens of units, far below the millions of GPUs operating on Earth. Johnston emphasized that Starcloud has been at the forefront of innovation by deploying the first GPU in orbit for AI training, which has even been used to train models like Gemini.
Several technical challenges still remain, such as power generation, cooling systems, and synchronizing thousands of GPUs in a microgravity environment. To address these challenges, Starcloud 2 will be equipped with the largest foldable radiator ever used on a private satellite. The company is also preparing at least two additional versions of the spacecraft to refine this technology.
Aside from Starcloud, several other players, such as Aetherflux, Project Suncatcher, and Aethero, are also entering this sector. Competition is expected to intensify, especially with SpaceX's plans to build up to one million satellites for orbital computing.
With these opportunities and challenges, space data centers have the potential to become an alternative to the limitations of digital infrastructure on Earth. However, their success will depend on technological developments and cost efficiencies in the coming years.
Conclusion
Starcloud secured US$170 million in Series A funding to develop a data center in space, driven by increasing limitations on building data centers on Earth. The company has launched satellites with Nvidia H100 GPUs and is preparing for the next generation with more advanced technology, while targeting the construction of large-scale orbital data centers. While potentially a solution for the future of computing, the project still faces significant challenges, such as launch costs, technological readiness, and reliance on SpaceX rockets.
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