Solar power is already one of the cheaper (and cleaner!) forms of power generation. In dawn dusk sun synchronous orbits where satellites are always fully illuminated the panels will produce around 6 times as much electricity as those on the ground. And you don't need batteries to operate 24/7 (and as a bonus, the satellites will follow the work day demand curve through the day, reducing latency, at least for some people).

A fully reusable Starship will drastically change the economics of both initial launch as well as maintenance. I expect it will become more feasible to send vehicles to refuel/repair/replace components and keep satellites flying longer. Especially for orbital compute where there will be relatively few dense orbital planes. SpaceX showed modular servers in their video https://youtu.be/k3Un1TizSNg?si=14-bjxXkiyM6cxpg&t=36

First off, let’s not pretend rocket launch dependent solar is “cleaner.” Be reasonable. Solar + saline batteries is pretty damn clean.

Yes, I watched the video. It’s talking about solar and radiators. I agree, if we can solve solar and radiators, it’s feasible tech.

I’m still not entirely sure it’ll be competitive with solar data centers on the ground. I realize I’m no expert, but it just seems like a bizarre way to do computing.

Everything I like about Space X is about doing things that you can't do on earth, because you can't do them on earth feasibly.