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AI Race: Masayoshi Son Bets Against Musk's Space Plan

Musk continues to rely on first-principles engineering to solve long-term technological challenges, while Son favors rapid investment in commercially viable AI businesses.

SoftBank founder Masayoshi Son (Pic via X)

SoftBank founder Masayoshi Son has publicly questioned Elon Musk's plan to place AI data centers in orbit, arguing that the idea is unlikely to deliver meaningful cost advantages in the near future, reported by CNBC.

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Musk believes space-based data centers powered by solar energy could transform AI infrastructure, with SpaceX targeting deployment by 2028. However, Son told investors that electricity accounts for only a small portion of data center operating costs, while chips and hardware remain the biggest expenses.

The report said the disagreement reflects two contrasting approaches to the AI race. Musk continues to rely on first-principles engineering to solve long-term technological challenges, while Son favors rapid investment in commercially viable AI businesses.

According to CNBC, Son believes the winners of the AI race will emerge within the next few years, making decade-long projects such as orbital data centers less attractive. SoftBank is instead focusing investments on AI models, semiconductors, robotics and data center infrastructure.

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