Microsoft is teaming up with SpaceX: Here’s what this means

Microsoft today took a big step towards strengthening the capabilities of its Azure cloud computing platform. The company announced that it was partnering with Elon Musk-led SpaceX to provide satellite-powered internet connectivity on Azure.

Microsoft said that as a part of this partnership Azure Space coupled with SpaceX plan to deliver satellite connectivity between field-deployed assets and cloud resources across the globe to both the public and private sector via SpaceX’s Starlink satellite network.

For those of you who don’t don’t know, Azure Space is Azure’s service that aims to deliver innovation to serve the mission needs of the space industry. Starlink satellite network, on the other hand, is a network of low-earth-orbit (LEO) satellites that aims to provide satellite internet connectivity to the parts of the Earth wherein internet connectivity is scarce.

The two companies plan to connect Starlink’s high speed and low-latency satellite broadband with Azure’s new Modular Data Center (MDC) for achieving their goal. Furthermore, the two companies will also connect Starlink with Microsoft’s global network, which includes the Azure edge devices, integrating SpaceX’s ground stations with Azure networking capabilities.

Now, the big question is why does it matter?

Well the answer to that question is quite simple. When Azure combines its resources with SpaceX’s satellite system, it will not only strengthen Azure’s connectivity but also improve and enhance the capabilities of the businesses that use Azure, which, as the tech giant said, not only includes the public sector companies but also the public sector companies. It would also give Azure an edge over Jeff Bezos-led AWS.

But this is not the only area wherein Microsoft and SpaceX have collaborated.

SpaceX recently won a contract with the US Space Development Agency to build new satellites that are separate from its own Starlink system in support of a Space Tracking Layer defense system that is capable of detecting and tracking ballistic, cruise and hypersonic missiles. Microsoft said that it will join the SpaceX team on this project.

“While the two companies expect to serve government customers, particularly in defense and intelligence, they foresee growing satellite connectivity and capability opportunities throughout the private sector in areas including telecommunications, energy and agriculture,” Microsoft wrote in a release.