Musk is actively pushing for a merger between SpaceX and Tesla, which would have an estimated combined valuation of about $3.5 trillion, putting it among the world's six most valuable companies.
Pros: Tesla's AI and robotics, together with SpaceX's satellite network, could already work hand in hand. Building a chip factory together would let them share costs and save money. And since SpaceX is valued more highly, Musk could use it as leverage to retain firm control of the merged company.
Cons: It would be unfavorable to Tesla's existing shareholders, since Tesla would have to pay a premium for SpaceX, diluting their stake. The two companies are in completely different lines of business.
It's pretty wild just to propose this. Maybe old Musk thinks the EV market is too cutthroat and car-selling margins are too low, so he wants SpaceX to absorb Tesla—combining Tesla (AI, robotics, computing power) with SpaceX (Starlink, rockets, and a higher valuation) to create a bigger space-and-AI narrative and gain access to more funding and control.
#SPCX #TSLA
Pros: Tesla's AI and robotics, together with SpaceX's satellite network, could already work hand in hand. Building a chip factory together would let them share costs and save money. And since SpaceX is valued more highly, Musk could use it as leverage to retain firm control of the merged company.
Cons: It would be unfavorable to Tesla's existing shareholders, since Tesla would have to pay a premium for SpaceX, diluting their stake. The two companies are in completely different lines of business.
It's pretty wild just to propose this. Maybe old Musk thinks the EV market is too cutthroat and car-selling margins are too low, so he wants SpaceX to absorb Tesla—combining Tesla (AI, robotics, computing power) with SpaceX (Starlink, rockets, and a higher valuation) to create a bigger space-and-AI narrative and gain access to more funding and control.
#SPCX #TSLA