ITIF reviews policy challenges for orbital data centers

ITIF has published a policy report arguing that orbital data centers are a complementary form of digital infrastructure, not a replacement for terrestrial facilities.

• The report says the near-term opportunity is in specialized, space-based workloads such as Earth observation, remote sensing, and spacecraft autonomy, while noting major constraints in thermal management, radiation, communications, servicing, cybersecurity, and launch costs.
• It recommends policymakers improve spectrum access, streamline satellite licensing, clarify cybersecurity expectations, expand launch infrastructure, and address orbital sustainability; the report cites Google’s Project Suncatcher and Thales Alenia Space’s ASCEND as examples of industry interest.
• This is a commentary/analysis report, not a first-time project announcement by a company; it references prior research, government guidance, and regulatory proceedings. The report was published on September 28, 2026 by ITIF.