Tech billionaire Elon Musk has added some credence to the news regarding a potential merger between his two companies, SpaceX (SPACE) and xAI (X.AI) via a post made on X.
“Yes,” Musk responded to a post that mentioned the merger in the context of exploring the universe and understanding the universe. Musk also owns X, formerly known as Twitter. The social network merged with xAI in March 2025.
Recently, various media outlets have reported that SpaceX—which has a rocket launching business and an internet satellite unit, Starlink—is in talks to merge with xAI. Founded a few years ago, xAI competes with OpenAI (OPENAI) and Anthropic (ANTHRO) in the generative artificial intelligence space.
Last month, xAI closed a Series E funding round for $20B. The company did not disclose the valuation, but previous reporting had indicated that the next funding round could value xAI at $230B. Investors in the new funding round include Valor Equity Partners, Stepstone Group, Fidelity Management & Research Company, Qatar Investment Authority, MGX and Baron Capital Group, and others. Strategic investors in the round include Nvidia (NVDA) and Cisco’s (CSCO) venture capital arm, Cisco Investments.
Musk, who also runs Tesla (TSLA), said last month that the automotive and technology giant, would invest $2B into xAI as well.
SpaceX and xAI did not immediately respond to a request for comment from Seeking Alpha.