Satlyt, founded by a former Google and SpaceX product manager, raises $8M to run AI on satellites

You can now process AI models on satellites, cutting downlink costs by over 60% and saving hundreds of thousands of dollars per satellite annually.

Satlyt, a startup co-founded by a former Google and SpaceX product manager, has raised $8 million in seed funding to develop software for running artificial intelligence on satellites. The company aims to enable multiple satellites to share complex computing tasks in orbit. Satlyt's software is designed to operate AI models directly on spacecraft, reducing the need to transmit data back to Earth for processing. This approach can lead to significant cost savings by improving operational efficiencies and processing sensor readings onboard. The company's software has already been tested on demonstration missions, including successfully reducing the size of a transmission about onboard software errors by over 60% using Google DeepMind's Gemma AI model. Satlyt's software is set to launch on a SpaceX rocket on an upcoming mission and will be tested for NASA's space cloud computing protocols, alongside image processing workloads for space surveillance startup Stellerian. The company plans to create a shared computing system, or cloud, spanning multiple satellites next year.

Satlyt's strategy of building a horizontal, open ecosystem for orbital computing, likening itself to Android to SpaceX's iPhone, suggests a move towards commoditizing satellite software services. This approach could democratize access to in-space AI processing, moving beyond proprietary hardware solutions and fostering a broader market for specialized satellite functions. The company's focus on operational efficiencies and reducing data transmission costs addresses a critical bottleneck in current space operations, potentially accelerating the adoption of AI in various satellite applications.

The $8 million seed funding for Satlyt signals strong investor confidence in the burgeoning market for orbital data centers and in-space AI. This investment will likely fuel further innovation in space-based software, attracting talent and resources to this specialized field. The success of Satlyt's model could also encourage other companies to develop cross-platform software solutions, promoting interoperability and competition within the growing space tech industry.