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Musk says Tesla and SpaceX merger is a good idea as committees form
Fox Business • • business
Key Points:
- Elon Musk revealed that Tesla and SpaceX have formed special committees of independent directors to explore a potential merger, a move prompted by shareholder requests and Musk's belief in the benefits of combining the companies.
- Musk highlighted the growing overlap between Tesla and SpaceX in areas like superintelligence software, chip design, robotics, and space connectivity, suggesting significant advantages from collaboration.
- Following SpaceX's quarterly earnings report and Musk's merger comments, SpaceX shares rose by as much as 8% in after-hours trading, reflecting investor optimism.
- SpaceX reported its first profit as a publicly traded company and projects annual recurring revenue between $500 billion and $1 trillion by 2027, underscoring its rapid growth.
- Musk also pledged to give every child in America one share of SpaceX next year, indicating plans for future giveaways, while Tesla recently showcased its new Roadster featuring innovative compressed-air thrusters.
