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SpaceX and xAI are in advanced talks to combine
Summary
Reports say SpaceX and xAI are in advanced talks to merge, joining two large privately held companies. SpaceX has filed to seek permission to launch as many as one million satellites.
Content
SpaceX and xAI are reported to be in advanced talks about a combination. The talks would join two of the largest privately held companies. xAI raised funds at a reported US$200 billion valuation in September, and SpaceX was reported to be preparing a share sale at about a US$800 billion valuation in December. The potential combination is discussed alongside a longer-term idea to use space-based infrastructure for complex AI computing.
Known details:
- Reports say SpaceX and xAI are in advanced talks to combine.
- xAI raised funds at a reported US$200 billion valuation in September.
- SpaceX was reported to be preparing a share sale at about a reported US$800 billion valuation in December.
- A merger would pair xAI with SpaceX's rockets and satellites, and SpaceX has filed to launch as many as one million satellites.
Summary:
A combination would bring together xAI's AI work and SpaceX's space infrastructure, including rockets and satellite capabilities. The talks are framed around using space-based assets to support complex AI computing. Undetermined at this time.
Sources
Elon Musk merges SpaceX with xAI in record-setting deal valuing new company at $1.25-trillion
The Globe and Mail2/3/2026, 12:08:56 PMOpen source →
Elon Musk's SpaceX to merge with his AI startup xAI
The Star2/2/2026, 10:53:41 PMOpen source →
SpaceX is in advanced talks to combine with xAI
Financial Post2/2/2026, 3:19:43 PMOpen source →
