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Space power startup Aetherflux targets $2b valuation

Aetherflux, a space solar power startup launched by Robinhood founder Baiju Bhatt, is in talks to raise US$250 million to US$350 million in a series B that would value the company at US$2 billion, The Wall Street Journal reported.

The report said Index Ventures is leading the round, and Aetherflux has raised about US$80 million since its founding in 2024.

The company has recently shifted focus toward using its power generation technology for space-based data centers, moving away from its earlier plan to beam electricity to Earth using lasers.

Bhatt said Aetherflux still plans to test laser power transmission on a satellite bus built by Apex Space, and it expects its first data center satellite in 2027.

🔗 Source: TechCrunch

🧠 Food for thought

Implications, context, and why it matters.

The terrestrial AI boom is creating the business case for orbital data centers

  • Aetherflux shifted toward data centers to meet AI-driven power demand on Earth 1.
  • Some AI clusters draw hundreds of megawatts. Local grids strain, hookups get delayed, and some regions pause new ground-based data center projects 1.
  • These limits create demand for Aetherflux’s “Galactic Brain,” an orbital data center node the company has named 2.
  • New low-Earth orbit satellite networks from SpaceX and Amazon can keep latency around 20 to 40 milliseconds, which supports remote computing use cases 3.

A well-funded supply chain emerges, but so do new environmental risks

  • Aetherflux’s reported valuation fits a wider investment surge that is building supply chains for an orbital economy 4.
  • KPMG, a global accounting and consulting firm, says space startups drew funding across all rounds in 2025. Examples include Stoke Space (US$870 million) and Apex Space (US$400 million). Those figures are not tied directly to orbital data centers 4.
  • This growth also brings second-order environmental challenges that do not exist in the same way on the ground 5.
  • Orbital data centers avoid land and water use. Lifecycle costs can still include rocket launch emissions plus added space debris, which can reduce sustainability gains 5.

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