Elon Musk merges SpaceX with his A.I. start-up xAI

SpaceX has acquired xAI, creating the world's most valuable private company. This deal merges SpaceX’s rockets with xAI’s Grok chatbot and the social media platform X. Elon Musk stated, “SpaceX has acquired xAI to form the most ambitious, vertically-integrated innovation engine on (and off) Earth.”

The acquisition highlights Musk's strategy of interlinking his various businesses. Similar moves include using Tesla stock to acquire SolarCity and recently using xAI to buy X. Most of Musk's companies are privately held, allowing for more opaque operations. Peter Diamandis suggests that there may be “one Musk Inc.” in the future.

SpaceX is reportedly valued at $800 billion ahead of a potential public offering, while xAI raised $20 billion, valuing it over $230 billion.