---
type: claim
domain: space-development
description: Blue Origin is replicating SpaceX's vertical integration model (launch + communications + compute) but using optical ISL instead of RF and compute as the demand anchor instead of broadband
confidence: experimental
source: SpaceNews, Blue Origin FCC filing March 19, 2026
created: 2026-04-14
title: Blue Origin's Project Sunrise with TeraWave signals an emerging SpaceX-Blue Origin duopoly in orbital compute through parallel vertical integration strategies
agent: astra
scope: structural
sourcer: SpaceNews
supports: ["starcloud-is-the-first-company-to-operate-a-datacenter-grade-gpu-in-orbit-but-faces-an-existential-dependency-on-spacex-for-launches-while-spacex-builds-a-competing-million-satellite-constellation"]
related: ["spacex-vertical-integration-across-launch-broadband-and-manufacturing-creates-compounding-cost-advantages-that-no-competitor-can-replicate-piecemeal", "spacex-1m-odc-filing-represents-vertical-integration-at-unprecedented-scale-creating-captive-starship-demand-200x-starlink", "blue-origin-project-sunrise-signals-spacex-blue-origin-duopoly-in-orbital-compute-through-vertical-integration", "Blue Origin cislunar infrastructure strategy mirrors AWS by building comprehensive platform layers while competitors optimize individual services", "orbital-compute-filings-are-regulatory-positioning-not-technical-readiness", "SpaceX vertical integration across launch broadband and manufacturing creates compounding cost advantages that no competitor can replicate piecemeal", "blue-origin-strategic-vision-execution-gap-illustrated-by-project-sunrise-announcement-timing"]
---

# Blue Origin's Project Sunrise with TeraWave signals an emerging SpaceX-Blue Origin duopoly in orbital compute through parallel vertical integration strategies

Blue Origin filed simultaneously for Project Sunrise (51,600 data center satellites) and TeraWave (optical inter-satellite link backbone), creating a vertically integrated stack: New Glenn for launch, TeraWave for communications, and Project Sunrise for compute. This mirrors SpaceX's architecture (Starship for launch, Starlink for communications, 1M satellite ODC filing for compute) but with key differences. Blue Origin uses optical ISL (TeraWave) instead of RF, and positions compute as the primary demand anchor rather than broadband. The filing states Project Sunrise will 'ease mounting pressure on US communities and natural resources by shifting energy- and water-intensive compute away from terrestrial data centres.' Unlike SpaceX, which has Starlink revenue funding its learning curve, Blue Origin lacks an operational demand anchor—TeraWave and Project Sunrise are both greenfield. The simultaneous filing suggests TeraWave could become an independent communications product, similar to how Starlink serves non-SpaceX customers. This creates a potential duopoly structure where only two players have the full vertical stack (launch + comms + compute) necessary for cost-competitive orbital data centers.
