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As the firm prepares for what may turn out to be one of the biggest IPOs in history, Elon Musk’s satellite internet service, Starlink, has secretly modified its privacy conditions to allow the collection of customer data for the development of artificial intelligence. The change to Starlink’s privacy rules took effect January 15, according to the company’s website. The updated terms now state that customer information may be used for developing machine learning and AI systems, provided subscribers do not actively decline. The data could also end up with service contractors and unnamed outside partners. Privacy experts express concerns over data use SpaceX is considering a merger with Musk’s artificial intelligence company, xAI, according to a Reuters story on Thursday. This move comes at a crucial time for the rocket builder. With estimates indicating that SpaceX’s valuation may exceed $1 trillion after the stock market debut, the merged company would be ready for an IPO scheduled for later in 2026. An archived copy of Starlink’s privacy document from November, which Reuters examined, contained no references to using customer information for AI purposes. SpaceX declined to provide a statement when contacted. The satellite network collects a lot of data from its users. This contains information about people’s locations, credit card numbers, contact information, and IP addresses. According to the current privacy policy, the firm also records what it refers to as communication data, which includes audio and video recordings, the contents of shared files, and inferences made from the analysis of other personal information. The specific kinds of data that would be fed into AI training systems are not specified in the guideline. Consumer protection organizations and privacy experts have voiced alarm about the revision. They warn that channeling personal information into AI systems could expand monitoring capabilities and open doors…

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Filed under: News - @ January 31, 2026 2:25 pm