The whole thing makes no sense. What's the advantage of putting AI compute in space? What's even one advantage? There are none. Cooling is harder. Power is harder. Radiation is worse. Maintenance is impossible.
The only reason you'd ever put anything in orbit, aside from rare cases where you need zero-gee, is because you need it to be high up for some reason. Maybe you need it to be above the atmosphere (telescopes), or maybe you need a wide view of the earth (communications satellites), but it's all about the position, and you put up with a lot of downsides for it.
I feel like either I'm taking crazy pills, or all these people talking about AI in space are taking crazy pills. And I don't think it's me.
It might be possible to scam the Pentagon with some talk about AI and killer satellites that take down ICBMs.
Honestly that story sounds right up Pete Hegseth's alley.