Musk says SpaceX and Tesla study a merger
Elon Musk said on SpaceX's earnings call on Tuesday that special committees at both companies are studying a deal. They have not agreed on terms, and he said there is no guarantee they will.
Musk is chief executive of both companies. He said he is not a member of either committee and is not involved in the talks, because he is a conflicted party. He said he thinks a merger would be a good idea.
Musk said a deal would need support from both sets of shareholders. He called a 50% vote among Tesla shareholders a high hurdle. He also said that to assume a merger is certain would be overstating it.
Reports put the combined value of the two companies at more than $3 trillion, and one report put it at about $3.5 trillion. Another report put SpaceX at more than $2 trillion and Tesla at nearly $1.5 trillion. Tech analyst Gene Munster of Deepwater Asset Management estimated a 95% chance of a deal in the next two years.
Key facts
- Who
- Elon Musk (Chief executive of SpaceX and Tesla, as described in the article's context…); SpaceX (Company exploring merger with Tesla); Tesla (Company exploring merger with SpaceX); Gene Munster (tech analyst at Deepwater Asset Management)
- What
- Musk said on a SpaceX earnings call that special committees at SpaceX and Tesla are exploring a merger that would create a company worth more than $3 trillion. He said the committees had not agreed on a proposal, and any deal would need a shareholder vote requiring a 50 percent Tesla shareholder approval.
- When
- 20 October 2026
- Status
- Reported