China is accelerating the development of “space computing,” an approach that places data centers and AI processing capabilities on satellites, allowing data to be processed directly in orbit rather than transmitted back to Earth.
At the recent “2026 Space Computing Industry Conference,” China’s Ministry of Industry and Information Technology stated that it will support forward-looking research in space computing technologies and promote the development of an industry ecosystem. China also established its first collaborative platform for the sector—the “Space Computing Professional Committee.”
Space computing enables satellites to analyze and process data in real time, reducing transmission demands and improving efficiency. It includes models such as space (in-orbit) data processing, ground data processing, and integrated space–ground computing networks. Compared with ground-based data centers, space systems offer broader territorial coverage and stronger real-time capabilities.
Although initial costs—such as satellite launches and hardware—are high, long-term advantages include lower energy consumption, thanks to solar power and natural cooling in space, as well as reduced data transmission costs. Estimates suggest that a space-based computing center could reach cost parity with ground-based facilities within about 15 years.
China views space computing as a strategic frontier, driven by rapidly growing demand for computing power in areas such as AI, autonomous driving, and remote sensing. The country is already among the global leaders in deploying space-based computing networks and aims to leverage its early-mover advantage to strengthen its position in next-generation digital and aerospace industries.
Source: People’s Daily, April 10, 2026
http://finance.people.com.cn/n1/2026/0410/c1004-40698717.html