OpenAI CEO Explored Multi-Billion Dollar Investment in Space Startup

TLDR

• OpenAI CEO Sam Altman held discussions with Stoke Space about acquiring or partnering with the rocket company through multi-billion dollar equity investments
• The talks began in summer 2025 and intensified in fall but are no longer active
• Altman has publicly discussed building data centers in space to meet AI computing demands and reduce Earth’s environmental burden
• A deal would have given Altman access to Stoke’s Nova rocket and positioned him to compete with Elon Musk’s SpaceX
• Stoke Space, founded by ex-Blue Origin employees, is developing fully reusable rocket technology

OpenAI CEO Sam Altman explored a major investment deal with rocket manufacturer Stoke Space earlier this year. The discussions centered on acquiring a controlling stake in the company through billions of dollars in equity investments.

Altman initiated contact with Stoke Space during the summer months. The conversations gained traction throughout the fall of 2025.

The proposed structure involved OpenAI making multiple equity investments over time. These investments would eventually total billions of dollars and give Altman controlling ownership of Stoke Space.

Sources familiar with the situation confirm the talks have ended. No deal was reached between the parties.

Stoke Space develops reusable rocket technology for commercial space launches. The company was established by former employees from Jeff Bezos’ Blue Origin space venture.

The startup is building a rocket called Nova. Full reusability remains a challenging goal in the aerospace industry that few companies have achieved.

AI Computing in Orbit

Altman has repeatedly mentioned his interest in space-based infrastructure for artificial intelligence. He believes AI systems will eventually require so much computing power that Earth-based data centers become impractical.

Space facilities could harness solar energy directly without grid limitations. This approach could address environmental concerns linked to massive data center energy consumption.

“I do guess that a lot of the world gets covered in data centers over time,” Altman stated on a podcast. He suggested constructing large structures around the solar system might prove more practical than Earth-based solutions.

Other technology executives share this vision. Jeff Bezos, Elon Musk, and Google CEO Sundar Pichai have all endorsed the concept of orbital AI computing clusters.

Google partnered with Planet Labs to launch prototype satellites carrying AI chips in 2027. This project will test the feasibility of space-based AI hardware.

Direct Challenge to SpaceX

A Stoke Space partnership would have created direct competition between Altman and Elon Musk. SpaceX dominates the commercial rocket launch sector and operates Starlink satellite services.

Musk also runs xAI, an AI company competing with OpenAI. The rivalry between the two executives extends across multiple industries.

Altman launched Merge Labs, a brain-computer interface startup that competes with Musk’s Neuralink. OpenAI is also developing a social network that could rival Musk’s X platform.

Building rockets from scratch requires significant time and resources. New rocket companies typically need a decade to develop flight-ready vehicles due to technical and regulatory hurdles.

Several companies attempt to challenge SpaceX’s market dominance. Blue Origin, Rocket Lab, and Stoke Space all compete for commercial launch contracts.

OpenAI’s Financial Commitments

OpenAI committed to nearly $600 billion in computing infrastructure deals over recent months. The company projects $13 billion in revenue for 2025.

Altman previously led Y Combinator, a startup accelerator that invested in Stoke Space. His personal investment portfolio includes over 400 companies.

OpenAI recently invested $18 billion in Stargate, a new data center company, alongside SoftBank. The partnership reflects Altman’s willingness to deploy OpenAI resources for large-scale projects.

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