Lumen Orbit changes its name to Starcloud and raises $10M for space data centers

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Introduction to Starcloud: Revolutionizing Data Centers in Space

In an era where technology continues to push the boundaries of innovation, a Redmond, Washington-based startup, Starcloud, is making waves in the space industry with its ambitious vision of creating space-based data centers. Originally known as Lumen Orbit, the company rebranded to Starcloud in 2022 and has already secured significant funding to bring its groundbreaking idea to life. Starcloud’s mission is to launch a network of megawatt-scale computer servers into Earth’s orbit, powered by vast solar panel grids that could span up to 2.5 miles in width. These orbital data centers aim to provide a sustainable alternative to the rapidly growing number of terrestrial data centers, which are increasingly consuming land, electricity, and sparking controversy.

The Vision Behind Space-Based Data Centers

Starcloud’s innovative approach addresses the growing challenges of terrestrial data centers, which are becoming increasingly resource-intensive and environmentally contentious. By placing data centers in space, the company hopes to alleviate the strain on Earth’s resources while opening up new possibilities for data processing. Space-based facilities could play a pivotal role in managing the enormous amounts of data generated by Earth observation satellites. Imagine satellites capturing high-resolution imagery of our planet—processing this data in space would drastically reduce the bandwidth needed to transmit it back to Earth, making the entire process more efficient. This concept not only supports Earth observation but could also revolutionize how we handle computational tasks in space exploration and beyond.

The idea of operating data centers in space may seem futuristic, but Starcloud is taking concrete steps to make it a reality. The company’s plan involves launching a constellation of satellites equipped with powerful servers and solar panels. These satellites would operate in low Earth orbit, where they can harness sunlight for energy and perform complex computations without the constraints of terrestrial infrastructure. Starcloud’s vision is not just about reducing the environmental impact of data centers; it’s about creating a new frontier for computing that could support everything from artificial intelligence to real-time data analysis for industries like agriculture, urban planning, and environmental monitoring.

Funding and Investors: A Testament to Starcloud’s Ambitious Vision

Starcloud’s journey has been nothing short of remarkable since its inception in 2022. The company graduated from Y Combinator’s (YC) summer cohort last year and has since secured an impressive $21 million in seed funding—$11 million announced in December and an additional $10 million raised through a simplified agreement for future equity (SAFE). This makes Starcloud’s seed round one of the largest ever for a YC graduate. The initial $11 million came from notable investors such as NFX, YC itself, FUSE, Soma Capital, and scout funds from Andreessen Horowitz and Sequoia. The additional $10 million was contributed by previous seed investors and several new venture capital firms, though the company has chosen not to disclose the new investors until its Series A funding round.

This significant influx of capital is a strong endorsement of Starcloud’s vision and its potential to disrupt the data center industry. CEO Philip Johnston emphasized that the funding will allow the company to accelerate its plans to build large-scale data centers in space and will sustain operations through at least the next two launches. With such robust financial backing, Starcloud is well-positioned to make its ambitious vision a reality.

Technology and Innovation: Pushing the Boundaries in Space

At the heart of Starcloud’s mission is its cutting-edge technology. The company is preparing to launch a 132-pound (60-kilogram) demonstrator satellite later this year aboard a SpaceX Falcon 9 rocket as part of the Bandwagon 4 rideshare mission. This satellite will test the feasibility of running high-performance computing tasks in space, including training, inference, and edge compute workloads for other satellites. What’s even more impressive is that the satellite will be equipped with top-of-the-line, data-center-grade NVIDIA GPUs—100 times more powerful than any compute hardware that has been operated in space before. NVIDIA is supporting this effort through its startup-friendly Inception program, which provides discounted access to its cutting-edge technology.

The success of this demonstrator satellite will pave the way for Starcloud’s larger vision of deploying a network of orbital data centers. These centers will not only serve as hubs for processing massive amounts of data from Earth observation satellites but also provide a platform for running AI models and other computationally intensive tasks in space. By eliminating the need to transmit raw data back to Earth for processing, Starcloud’s space-based data centers could significantly reduce latency and bandwidth requirements, enabling real-time decision-making and analysis.

Meet the Founders: A Team of Visionary Experts

Behind Starcloud’s groundbreaking vision is a team of experienced and visionary individuals. CEO Philip Johnston, a former associate at McKinsey & Co., brings a strong background in strategy and business development. Johnston also co-founded Opontia, an e-commerce venture, before turning his attention to space technology. Alongside Johnston are two other co-founders: Chief Technology Officer Ezra Feilden, who has a deep engineering background from his work at Oxford Space Systems and Airbus Defense and Space, and Chief Engineer Adi Oltean, a former principal software engineer at SpaceX’s Starlink facility in Redmond, Washington. Together, they form the nucleus of a highly skilled team that is passionate about advancing space-based computing.

Currently, the Starcloud team consists of just five members, but Johnston expects the team to double in size in the coming months as the company ramps up its operations. This growth will be crucial as Starcloud prepares for its first major satellite launch and begins building the infrastructure for its orbital data centers. With a mix of expertise in space engineering, software development, and business strategy, Starcloud is well-equipped to tackle the technical and logistical challenges of operating in space.

The Road Ahead: Challenges, Opportunities, and a New Name

As Starcloud continues to push the boundaries of space-based computing, it faces both exciting opportunities and significant challenges. One of the first hurdles will be the successful launch and operation of its demonstrator satellite, which will serve as a critical proof of concept for its technology. Should this mission succeed, Starcloud will be one step closer to realizing its vision of a network of orbital data centers. However, the company will also need to navigate the complexities of space regulation, the high cost of launches, and the technical challenges of operating in the harsh environment of space.

In addition to its technical and operational challenges, Starcloud also decided to change its name from Lumen Orbit to avoid potential confusion with another tech company, Lumen Technologies, which holds the rights to the “Lumen” name for data centers. While the name change may seem minor, it reflects the company’s careful attention to detail and its commitment to avoiding unnecessary obstacles as it builds its brand.

Looking ahead, Starcloud’s work has the potential to make a significant impact not just on the data center industry but on the broader space economy. By enabling high-performance computing in space, the company could pave the way for new innovations in fields like Earth observation, AI, and space exploration. With its strong team, cutting-edge technology, and robust financial backing, Starcloud is poised to become a leader in the next generation of space-based infrastructure.

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