Elon Musk is exploring a potential merger between Tesla and SpaceX. Special committees are currently reviewing the possibility of this massive deal.
Elon Musk currently leads two major companies: Tesla and SpaceX. He recently discussed the possibility of merging these two businesses.
Also, Musk confirmed he likes the idea during a meeting with financial analysts. He stated that the plan is under active consideration.
Next, special committees now examine the potential deal. However, Musk noted that no agreement exists between the two sides yet.
Moreover, the combined value of these firms would reach trillions of dollars. This would create one of the largest mergers in history.
Meanwhile, SpaceX reported strong growth in its cloud computing sector. This business segment earned seven billion dollars in the last quarter.
Still, the company remains unprofitable overall this year. It reported a loss of over one billion dollars recently.
After that, Musk pointed to recent projects like Terafab as proof that his companies work well together. This effort involves building computer chips.
Then, he explained that a full merger makes sense for AI and software development. He believes both firms many technical goals.
However, Musk excluded himself from the special committees. He called himself a conflicted party because he leads both organizations.
Finally, he warned that the deal faces a high hurdle. At least half of Tesla's shareholders must approve the move.