Musk's SpaceX-Tesla merger could create a $3.5 trillion giant
Tesla and SpaceX stocks rose Wednesday after Elon Musk confirmed both companies formed committees to discuss a potential merger, a deal that could create a $3.5 trillion colossus and make him the world's first trillionaire. Musk, who owns 11% of SpaceX and 19% of Tesla, cited artificial intelligence cooperation as the rationale, including joint AI chip production and satellite support for autonomous vehicles. A change-in-control clause in Tesla's compensation plan could automatically trigger performance targets, boosting his fortune. The merger faces potential political hurdles, as Democratic lawmakers have called for investigations into SpaceX contracts and Musk's government work, with midterm elections next month potentially increasing scrutiny.