Elon Musk Said to Be Merging SpaceX and xAI Ahead of Mega IPO

Bloomberg Markets and Finance | February 02, 2026 at 10:45 PM UTC
Bullish 90% Confidence
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Key Points

  • SpaceX and xAI merger confirmed via company memo, valuing the combined entity at $1.25 trillion.
  • The merger aims to utilize SpaceX's satellite data centers for xAI's AI models, providing energy efficiency and low latency.
  • SpaceX is profitable with revenue, while xAI burns cash, making the IPO crucial for funding GPU purchases.

AI Summary

Elon Musk's SpaceX and xAI are confirmed to merge, with the combined entity valued at $1.25 trillion, according to a company memo. This merger is seen as a strategic move to leverage SpaceX's satellite infrastructure for xAI's AI models, with plans for a future IPO to raise capital for GPU acquisition.

Model Analysis Breakdown

Model Sentiment Confidence
Gemini 2.5 Flash Bullish 90%
Consensus Bullish 90%