Elon Musk Says He Wants to Build an A.I. Factory on the Moon

Elon Musk says xAI may one day build a lunar factory to produce AI-focused satellites, outlining a long-term vision for space-based computing.

Elon Musk Says He Wants to Build an A.I. Factory on the Moon
Photo by Scott Olson/Getty Images

Elon Musk’s long-term plans for artificial intelligence now reportedly include a production site far from Earth.

Speaking during a company-wide meeting at xAI, his artificial intelligence startup, Musk laid out an idea that blends lunar infrastructure with advanced computing.

According to remarks heard by The New York Times, Musk told employees the company would ultimately need a manufacturing operation on the moon dedicated to building A.I.-focused satellites.

“You have to go to the moon,” Musk said during the meeting, describing the location as a necessary step for scaling computing power.

As he explained it, the facility would produce satellites designed to support large-scale A.I. systems. To move those satellites into space efficiently, Musk floated the idea of installing a “mass driver,” an electromagnetic launch system often depicted in science fiction.

The goal, Musk suggested, is to generate the level of processing capacity required for increasingly complex artificial intelligence models. “It’s difficult to imagine what an intelligence of that scale would think about,” he said, referring to the kind of advanced A.I. he envisions. “But it’s going to be incredibly exciting to see it happen.”

The lunar factory concept arrives shortly after Musk disclosed plans to combine xAI with SpaceX. The merger is intended to align artificial intelligence development with rocket launches and orbital infrastructure.

While no construction timeline or technical details were shared during the meeting, Musk’s comments suggest he views space-based computing as part of xAI’s long-term strategy.

For most of its history, SpaceX has centered its ambitions on Mars. Musk has repeatedly stated that making humanity “multiplanetary” is the company’s core mission.

During the xAI meeting, however, he described the moon as an intermediate phase. He reportedly spoke about creating “a self-sustaining city on the moon” before advancing to Mars and, eventually, deeper space exploration.

Two former SpaceX executives told The New York Times that the moon had not traditionally been a primary focus of the company’s roadmap. In recent months, however, Musk has posted more frequently about lunar initiatives on X.

Musk also discussed X during the employee session. He said the platform now has approximately 600 million monthly active users, though that figure has not been independently verified.

He outlined upcoming additions, including a digital payment service called X Money and a separate messaging application. “We’ll obviously give people reasons, compelling reasons, to use the app every day,” Musk said, predicting that daily usage could eventually exceed one billion users.

Musk has previously made aggressive projections about new technologies, including earlier Mars cargo missions that have not yet occurred. Still, during the meeting, he emphasized speed as a competitive advantage.

“If you’re moving faster than anyone else in any given technology arena, you will be the leader,” he said.

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