SpaceX and Tesla mega-merger under discussion
Elon Musk argued that combining the companies would allow them to deepen cooperation on chip design, robotics, software, and more. Elon Musk’s companies, SpaceX and Tesla, have begun exploring a merger that would create a $3.5 trillion corporate giant spanning key sectors of cutting-edge technology. Musk, who cautioned that shareholders could reject the proposal, argued that combining the companies would allow them to deepen cooperation on chip design, robotics, software, and other technologies; both firms’ share prices rose following the announcement. In part, the deal reflects the seemingly relentless growth of Big Tech, which already represents a historically disproportionate share of US stock markets. But such a tie-up also has its own strong logic, one early SpaceX investor told Bloomberg: “Combined, it would be the only company owning the full physical-AI stack … No competitor has an analog.”
Elon Musk argued that combining the companies would allow them to deepen cooperation on chip design, robotics, software, and more. Elon Musk’s companies, SpaceX and Tesla, have begun exploring a merger that would create a $3.5 trillion corporate giant spanning key sectors of cutting-edge technology. Musk, who cautioned that shareholders could reject the proposal, argued that combining the companies would allow them to deepen cooperation on chip design, robotics, software, and other technologies; both firms’ share prices rose following the announcement.
In part, the deal reflects the seemingly relentless growth of Big Tech, which already represents a historically disproportionate share of US stock markets. But such a tie-up also has its own strong logic, one early SpaceX investor told Bloomberg: “Combined, it would be the only company owning the full physical-AI stack … No competitor has an analog.”