Elon Musk has announced a major merger of SpaceX and xAI into a new business structure, with a total valuation of $1.25 trillion. This integration aims to establish one of the most ambitious innovation centers, combining artificial intelligence, space technologies, and data processing.
This is reported by Business • Media
Details of the Deal and Strategic Goals
According to internal sources, SpaceX is valued at $1 trillion, while xAI is valued at $250 billion. These figures were communicated to employees in a memo on February 2, 2026. The entire deal is being conducted in the form of a securities exchange, and the expected value of a share in the new company could reach $526.59. The exact terms of the offer have not yet been disclosed.
The merger is aimed at developing intelligent systems, integrating rocket technologies, satellite internet, and direct connections for mobile devices. Musk emphasized that space could become the most economically viable platform for artificial intelligence computations within the next two to three years, enabling accelerated model training and data processing on a scale unattainable by terrestrial infrastructure.
“You will train the model on how cryptocurrency traders analyze blockchain data, model tokenomics, assess flows in the blockchain, manage extreme volatility, exploit inefficiencies in centralized and decentralized platforms, and think within new paradigms of digital assets,” the job description states.
IPO Prospects and Development of Satellite Technologies
Despite the merger, SpaceX is not abandoning its plans for an initial public offering (IPO) by the end of the year. The company estimates the potential fundraising volume in the event of an IPO to be up to $50 billion, which could become one of the largest offerings in history.
As part of its new strategy, SpaceX has already applied to launch up to one million satellites into low Earth orbit, opening new opportunities for the development of the Starlink network. Revenues from Starlink currently exceed profits from launches, and the project plays a key role in funding the capital-intensive initiatives of the company.
The merger allows Musk to more effectively integrate the businesses, combining financial, human, and computational resources. SpaceX remains the most resilient asset in the entrepreneur’s portfolio, serving as a key contractor for NASA and the U.S. Department of Defense.
At the same time, xAI is expanding its presence in the financial and cryptocurrency sectors. The company has posted a job opening for a global expert in finance and digital assets, who will be responsible for training and testing modern artificial intelligence models. This may indicate further development of xAI in the fields of financial and crypto-economic analytics.