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Musk’s SpaceX Combines With xAI at $1.25 Trillion Valuation

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February 3, 2026

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SpaceX has acquired xAI in a deal to form the most ambitious innovation engine with AI, rockets, and space-based internet.

The deal gives the combined company a valuation of $1.25 trillion and brings together two of the largest closely held companies in the world.

Elon Musk explained the rationale for the deal, stating that the least expensive way to do AI computations will be in space, enabling companies to forge ahead in training AI models and processing data.

#spacex #ai #tech

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Musk’s SpaceX Combines With xAI at $1.25 Trillion Valuation · Bloomberg News · Sentinel