Tesla Stock Rises as Elon Musk's SpaceX Reportedly Mulls Merger

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Tesla Stock Rises as Elon Musk's SpaceX Reportedly Mulls Merger

Tiger Newspress01-30

Elon Musk's SpaceX reportedly is considering a merger with Tesla or xAI before the private space company's expected IPO later this year.

Tesla stock rose 1.9% in morning trading on Friday.

SpaceX is mulling a combination with the EV giant or Musk's artificial intelligence startup xAI, Bloomberg reported late Thursday, citing sources. Any deal could attract support from infrastructure funds and Mideast sovereign investors, sources added. That could help with the likely substantial financing needed.

Earlier Thursday, Reuters reported that SpaceX was in talks with xAI.

Elon Musk has speculated about using SpaceX to put data centers in space, creating a possibly synergy with xAI, which is pushing to increase computing power. Musk has floated the idea of sending Tesla's Optimus robots to the moon and Mars. SpaceX has bought up a number of Cybertrucks, bolstering sales for the ailing EV model.

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