Sure, let’s smoosh SpaceX and Tesla together, who cares
Oh sure, SpaceX's credit risk is pretty high because it's about to borrow another $40 billion to spend on Nvidia chips, but who cares about that? SpaceX and Tesla have formed special committees to discuss a merger! The degree to which you find this merger compelling likely has to do with the degree to which […]
Elon Musk has suggested a merger between SpaceX and Tesla, despite the high credit risk SpaceX faces due to a planned $40 billion borrowing for Nvidia chips. The merger discussion is reportedly based on Musk's vision of going to Mars and spreading consciousness. However, current technology limitations suggest that robots, not humans, will be used for space exploration.
Musk believes that cooperating on developing superintelligence software is beneficial, with Tesla working on self-driving cars, LLMs, and humanoid robots, all requiring data centers. SpaceX reported a significant $7.56 billion revenue from its superintelligence division in Q3, with most of the revenue coming from services like renting out compute to other companies.
Tesla's Q3 earnings, on the other hand, showed declining profits due to Musk's shift towards robots and self-driving taxis. The companies have already formed some partnerships, including purchasing Cybertrucks from Tesla and holding Tesla bonds. They also announced two AI projects together: Terafab, a chip-making venture, and Macrohard, an AI simulation software. Despite these developments, Musk's timelines for these projects have often been missed in the past.
Written by urgent.news from The Verge's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
