SpaceX founder Elon Musk announced plans to build a satellite manufacturing facility and AI data centers on the Moon, as well as to install an electromagnetic catapult on the surface. He estimates that in just 2-3 years, the cheapest way to provide computing power will be to deploy it in space. In the near term, launches from Earth remain the priority, but the Starship rocket will be able to deliver up to 100 tons of cargo to the Moon and support the creation of a permanent production infrastructure.

The idea is based on the mass driver concept proposed in 1974 by MIT physicist Gerard O’Neill. His 160-meter-long prototype demonstrated the feasibility of launching cargo from the lunar surface to space, and a scaled-up system could deliver up to 600,000 tons per year to the Lagrange points of the Earth-Moon system. In 2023, Robert Peterkin of General Atomics presented a paper to AFOSR on the prospects for a lunar electromagnetic launch. Calculations suggest that using the Moon’s local resources will reduce the cost of constructing and maintaining orbital infrastructure compared to transporting materials from Earth.

Elon Musk has proposed building an 

electromagnetic catapult, or “mass driver,”on the Moon to launch satellites into space without traditional chemical rockets. 

The proposal, shared during an internal xAIall-hands meeting in February 2026, is part of a broader vision to manufacture and deploy AI-powered satellites directly from the lunar surface. 

Key Details of the Proposal

• Purpose: To launch satellites into deep space or lunar orbit to power a massive orbital AI data center network. Musk argues that space-based computing is the only way to scale AI effectively due to unlimited solar energy and cooling.
• Mechanism: The “mass driver” would use magnetic pulses to accelerate payloads to escape velocity, leveraging the Moon’s low gravity and lack of atmosphere.
• Infrastructure: The plan includes a lunar factory to manufacture these satellites using local resources like silicon, aluminum, and iron.
• Strategic Pivot: This project signals a shift for SpaceX from immediate Mars colonization toward building a “self-growing city” on the Moon within the next decade.
• Timeline: While no specific construction dates were provided for the catapult, Musk estimates that space-based AI compute could be the lowest-cost option within two to three years. 

Historical and Technical Context

• Not a New Idea: The concept of a lunar mass driver was first proposed in 1974 by MIT physicist Gerard O’Neill.
• Existing Tech: Modern electromagnetic launch systems are currently used on U.S. Navy aircraft carriers (like the USS Gerald R. Ford) to launch fighter jets.
• Enabling Tech: SpaceX’s Starship is intended to deliver the heavy machinery required to establish these lunar manufacturing facilities.

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