Elon Musk merges AI company xAI with rocket company SpaceX to build AI in space
Analysis
Price Impact
HighElon musk's ventures often generate significant hype and speculation in the crypto market, especially for coins he's associated with. the merger of xai and spacex, with a projected $1.25 trillion ipo valuation, is a massive financial and technological development.
Trustworthiness
HighThe news is reported by coindesk and bloomberg, directly quoting elon musk, indicating a high level of factual accuracy and credibility.
Price Direction
BullishElon musk's past influence on doge's price is well-documented. this high-profile merger, focusing on cutting-edge ai and space technology with an astronomical valuation, will likely fuel speculative interest and positive sentiment for doge. the ambitious vision for space-based ai further adds to the 'future tech' narrative.
Time Effect
LongWhile immediate speculative pumps may occur, the long-term nature of 'ai in space' development and the future ipo suggest a sustained positive sentiment and interest over a longer horizon. milestones from the combined company could provide continuous catalysts.
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Finance Share Share this article Copy link X icon X (Twitter) LinkedIn Facebook Email Elon Musk merges AI company xAI with rocket company SpaceX to build AI in space The combined company is expected to price its IPO at a valuation of $1.25 trillion, according to Bloomberg. By Stephen Alpher Feb 2, 2026, 10:05 p.m. Make us preferred on Google Elon Musk's SpaceX and xAI have merged (jurvetson /CC BY 2.0./Modified by CoinDesk) SpaceX, the rocket company founded by Elon Musk, has acquired xAI, the artificial intelligence company founded by Elon Musk. "Current advances in AI are dependent on large terrestrial data centers, which require immense amounts of power and cooling," wrote Elon Musk , announcing the merger. "Global electricity demand for AI simply cannot be met with terrestrial solutions, even in the near term, without imposing hardship on communities and the environment." STORY CONTINUES BELOW Don't miss another story. Subscribe to the Crypto Daybook Americas Newsletter today . See all newsletters Sign me up By signing up, you will receive emails about CoinDesk products and you agree to our terms & conditions and privacy policy . "In the long term, space-based AI is obviously the only way to scale," Musk continued. "To harness even a millionth of our Sun’s energy would require over a million times more energy than our civilization currently uses!" The combined company is expected to go public at a valuation of $1.25 trillion, reported Bloomberg , noting xAI recently raised money at a $230 billion valuation and SpaceX at about an $800 billion valuation. Artificial Intelligence