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US-China tech war
TechTech War

A cloud above the clouds: US, China race to make space a computing platform

China could be a leading player in the new technological battlefield, but the US has a substantial lead in essential tools such as reusable rockets

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Illustration: Henry Wong
Wency Chenin Shanghai

In 1957, the Soviet Union kicked off the Cold War’s space race, shocking the world by sending Sputnik, the world’s first artificial satellite, into orbit.

Four years later, it did the same to cosmonaut Yuri Gagarin, making him the first human in space. In 1969, the US provided another image that defined the era: Neil Armstrong leaving the Eagle lunar lander and planting the American flag on the moon, declaring it “one small step for man, one giant leap for mankind.”

For the two superpowers, the space race was an ideological contest measured in firsts – with each milestone setting down a marker for technological know-how, national pride and a renewed commitment to push beyond the bounds of Earth.

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Half a century later, a new space race is taking shape, with China emerging as one of the leading actors.

However, this competition is about more than symbolic firsts. Countries are seeking to make the technological achievements necessary to occupy, operate and utilise space, creating a new layer of digital infrastructure through satellites, networks, sensors and computing systems.

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SpaceX, the US tech giant gearing up for what is expected to be the world’s biggest initial public offering as early as next month, has become a major player in this contest, releasing plans for orbital data centres, an experimental technology that is nonetheless sending ripples through global supply chains by driving demand for base metals, chips, satellites and rockets.

China, nurturing its own commercial space sector, is racing to keep up. Industry insiders and analysts based in the country said space was the new battlefield for technological competition, and Beijing could not afford a strategic absence.
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