SpaceX and xAI Merge to Form a $1.25 Trillion Technology Giant

SpaceX and artificial intelligence startup xAI, both led by Elon Musk, have officially merged under a single corporate structure. In a statement published on SpaceX’s official website and signed by Musk, it was announced that xAI has joined SpaceX with the mission of “accelerating the future of humanity.”

According to the announcement, the merger aims to create a vertically integrated innovation engine that brings together artificial intelligence, space rockets, space-based internet systems, direct-to-mobile communication technologies, and one of the world’s leading real-time information and free expression platforms. This integration is designed to enable faster and more coordinated technological development across multiple domains.

The statement also highlighted that current AI advancements heavily rely on massive land-based data centers, which require enormous amounts of energy and cooling infrastructure. In the long term, space-based artificial intelligence is expected to play a crucial role. Musk described moving these resource-intensive operations into space as “the only logical solution.”

Reports in the U.S. media last week revealed that SpaceX and xAI had been holding merger talks ahead of a major public offering planned for later this year. Following the merger, the combined company is expected to reach a total valuation of approximately $1.25 trillion.

This landmark move is seen as a bold step that could redefine the future of artificial intelligence, space exploration, and global communication technologies.