Madari Space noted that the move addresses the growing need to handle raw, unprocessed data produced by Earth observation satellites and other orbital systems
In sum – what you need to know:
Space-based data processing – Madari Space will test orbital data centers to handle the growing volume of raw satellite data directly in space.
LEO as proving ground – The company aims to de-risk operations in Low Earth Orbit before scaling into cislunar space.
UAE-backed initiative – Supported by the Mohammed bin Rashid Innovation Fund, the project aligns with broader UAE ambitions in space and digital infrastructure.
UAE startup Madari Space plans to launch a data center into Low Earth Orbit (LEO) in the third quarter of 2026, as part of a pilot project aimed at processing and storing space-generated data in orbit, according to a Bloomberg report.
Founded and led by former UAE-based airline Etihad pilot Shareef Al Romaithi, the company noted that the move addresses the growing need to handle raw, unprocessed data produced by Earth observation satellites and other orbital systems. Rather than routing this data to ground-based facilities, Madari proposes in-orbit compute as a faster, real-time solution.
“By placing data centers in space, we enable data owners to make informed decisions in real time,” Romaithi said. Specifics about the mission architecture or capital requirements have not been disclosed.
The company will initially operate in LEO to test its technology under lower-risk conditions. Romaithi said falling launch costs and greater payload efficiency make this project feasible. In a future phase of the project, Madari envisions expansion into the “cislunar” economy, which is the region between the Earth and the Moon.
The UAE-based firm is located in one of the UAE’s space economic zones, which offer a number of incentives like activity-specific permits, access to labs, and accelerator programs. It is backed by the Mohammed bin Rashid Innovation Fund, a UAE government initiative.
Target customers include satellite operators, governments, and large corporations that need secure off-Earth data storage and processing. The Arab company is seeing opportunities in real-time decision making, potentially including satellite collision avoidance and other high-frequency analytics.
The UAE is emerging as a regional data infrastructure hub. Existing players include Khazna, owned by UAE-based AI technology holding company G42, and the upcoming UAE Stargate project.
U.S. tech giants Nvidia, Cisco, Oracle, and OpenAI are backing the UAE Stargate artificial intelligence (AI) data center project, according to previous reports. Nvidia is to provide its latest Blackwell GB300 systems for the project. The setup is projected to align with the parallel US Stargate initiative, a domestic AI infrastructure project introduced by US President Donald Trump following his inauguration in January.
Oracle is also participating in the UAE Stargate initiative. Located in Abu Dhabi, the capital of the United Arab Emirates, UAE Stargate will be developed by Emirati tech firm G42, as confirmed by the US Commerce Department, which disclosed the project. The data center campus will cover 10 square miles and have a total capacity of 5 gigawatts.
G42 has been actively expanding its global presence. In June, the firm opened a London office and has made AI investment pledges across Asia, Africa, and the U.S. The UAE-backed firm has also aligned with global partners to drive AI infrastructure investments, bringing deep financial backing tied to the country’s oil wealth.
Recent European initiatives include a joint effort with Nvidia, Mubadala, and MGX to build what could become Europe’s largest AI data center campus. G42 is also backing multibillion-euro plans for data center growth in France and Italy.
Earlier this year, U.S. software giant Microsoft had announced an investment of $1.5 billion in G42.
