SpaceX’s upcoming Nasdaq debut at a $1.25 trillion valuation sparks merger talks with Tesla, valued at $1.6 trillion.
Elon Musk has discussed merging SpaceX and Tesla with colleagues as SpaceX prepares for its Nasdaq debut at a $1.25 trillion private valuation. The move follows SpaceX’s merger with xAI and aligns with overlapping AI-driven capital expenditures at both firms.
Tesla’s market capitalization stands at $1.6 trillion, while SpaceX reported $10.1 billion in Q1 capex, over 75% tied to AI. Tesla expects capex to exceed $25 billion this year, nearly triple 2023 levels. Shared board members, engineering teams, and cross-company transactions underscore structural ties.
Musk’s compensation at SpaceX is linked to a $7.5 trillion market cap target and Mars milestones, while Tesla’s pay plan ties tranches to valuation and operational goals, creating financial incentives for consolidation.