On February 3, sources with knowledge of the situation disclosed that Musk is planning to merge SpaceX with xAI, aiming to consolidate his strategic vision in the realms of artificial intelligence and space exploration. It is reported that the merger plan was initially set to be unveiled through an internal memo on Monday. Following the merger, each share of the combined entity is anticipated to be valued at around $527, propelling the overall valuation to a staggering $1.25 trillion. At present, neither SpaceX nor xAI has issued a response to this development. Earlier, Musk acquired the social media platform Twitter (which was later rebranded as X) at the close of 2022 and subsequently integrated it with xAI in a deal worth $33 billion. The chatbot Grok, operated by xAI, incurs monthly expenses of approximately $1 billion in its quest to gain a profound understanding of the universe. Upon merging with SpaceX, it will facilitate the seamless integration of financial resources, talent, and computing power, while also blurring the lines between corporate entities. This strategic move could potentially pave the way for Musk to realize his ambition of establishing data centers in space, thereby supporting intricate artificial intelligence computations. According to filings made last Friday, SpaceX is seeking authorization to deploy up to 1 million satellites into Earth's orbit.
