Sam Dickie

Right now, depending on who you listen to, it's in the low thousands of dollars per kilo.

And the tipping point is SpaceX

hundred dollars per kilo so i'll tell you why that is is at the moment on earth it costs about 30 to 50 million dollars a megawatt to build a data center so you need you need land you need 55 rugby fields or eden parks to build the the huge scale data centers you obviously need the buildings and then you need to fill it up with really expensive nvidia gpu so that's about

$30 to $50 million a megawatt.

If we get the cost of sending mass into space on rockets down to $100 a kilo, it will only cost about $10 to $15 million per megawatt to have a data center in space.

Land's way cheaper up there.

You've got 24 hours a day sun with no filtering, no clouds.

So solar power is much cheaper.

So it does make economic sense to have data centers in space.

And there's no one on Earth really who can solve these problems

at scale, at pace, and the one person who can do it is Elon Musk.

That's right.

That's right.

And that's what they did early is they targeted that enterprise market, whereas a lot of the other large language models like ChatGPT and Gemini and others, Grok, were going after many different markets.

So OpenAI had its Sora product and Perplexity was going after the consumer.

And everyone sort of realized pretty quickly that the consumer is not prepared to pay for it.

for the revenue required to pay off the huge invested capital.

So everyone's kind of changed or pivoted to the enterprise market.

It just so happens that Anthropic via Claude got there much earlier and was much better positioned.

And its pace of model improvement is at least as good as the others.