ToplineGoogle is discussing a potential rocket-launch deal with SpaceX, according to The Wall Street Journal, the latest potential agreement among tech companies eyeing the creation of artificial intelligence data centers in space. Google is reportedly talking to other rocket-launch companies.Photo by Tobias SCHWARZ / AFP via Getty ImagesKey FactsThe proposal would partner Google and SpaceX even as they compete on orbital data centers, the Journal reported, citing unnamed sources familiar with the discussions.SpaceX chief Elon Musk has insisted placing AI data centers in space will be the most cost-effective way to build the resource-intensive facilities. One person cited by the Journal noted Google is also in talks with other rocket-launch companies for the data center project.Forbes has reached out to Google and SpaceX for comment.What Other Rocket-Launch Companies Could Google Work With?If Google does not strike a deal with SpaceX, which has built a reputation as the leading commercial launch provider, Google could consider arrangements with the Jeff Bezos-owned Blue Origin, Rocket Lab (which specializes in orbital launches), or the United Launch Alliance. The report from the Journal did not explicitly name the other companies Google was in talks with for a rocket-launch deal.TangentMusk’s SpaceX is fresh off announcing a deal with Anthropic, giving the AI powerhouse access to its “Colossus” super computer. Under the agreement, Anthropic has shown interest in partnering with SpaceX to build “multiple gigawatts of orbital AI compute capacity.” The announcement from SpaceX said the computing power needed to develop the next generation of AI is “outpacing what terrestrial power, land, and cooling can deliver on the timelines that matter,” adding, “space-based compute offers near-limitless sustainable power with less impact on Earth.”Key BackgroundMusk has predicted building AI data centers in space would involve “little operating or maintenance costs” because of the solar power the installations could reap from the sun. Google CEO Sundar Pichai told Fox News late last year that building orbital data centers could become a new normal in a “decade or so,” saying Google will start testing the viability of the centers by sending “tiny racks of machines” in satellites sent up to space “and then start scaling from there.” Top tech companies are looking to the stars as the answer for the limitations data centers have on Earth. In order to properly operate, data centers use massive amounts of water to cool their servers, have large power demands that are expected to rise even further and can require extensive physical space, all of which are factored into regulatory policies that can curb the creation or growth of data centers.Further ReadingElon Musk’s SpaceX Merges With xAI In Bid To Launch AI Data Centers In Space (Forbes)