Orbital Secures $5M to Launch AI-Powered Satellite Data Centers by 2028

Space startup Orbital has raised $5 million in pre-seed funding to build a network of satellites for orbital data centres. The company aims to address the growing demand for AI workloads with a constellation of small, high-powered satellites. Orbital’s concept relies on many smaller satellites rather than a few large ones. Each will produce 100 kW of power and stay linked through optical connections. The satellites will be roughly the size of a fridge but carry solar arrays as large as a tennis court.

The company is setting up its first automated production facility in Los Angeles to mass-produce low-cost satellites. This will help speed up the rollout of its planned constellation of over 100,000 satellites in the long term.

Founder Euwyn Poon sees economic efficiency as the biggest hurdle for the industry. He argues that orbital data centres will soon be essential to meet rising AI processing needs. Orbital plans a demo mission in 2027, followed by the launch of its first full satellite, Orbital-1, in 2028.

The recent funding round was led by a16z’s Speedrun, with support from several other investors. With $5 million secured, Orbital will push ahead with its satellite production and early missions. The company’s first facility in LA and upcoming demo will mark key steps toward its large-scale constellation. The goal remains to provide a cost-effective solution for future AI-driven data demands.