Elon Musk said on SpaceX's third-quarter earnings call Tuesday, as The Verge reported, that Tesla and SpaceX each formed a special committee of independent directors to discuss a possible merger of Tesla and SpaceX. He said the committees were formed at shareholders' request, called a merger "a good idea" and said it is not guaranteed.
Why it matters
The companies already do business. Tesla's proxy statement says SpaceX has commercial, licensing and support agreements with Tesla. Under them, Tesla recognized about $143.3 million of revenue in 2025, primarily for the sale of vehicles, and incurred about $11.4 million of expenses in 2025 and $1.5 million through February 2026.
Tesla also owns SpaceX Class A stock, and xAI Holdings is now part of SpaceX. A merger would put Tesla's business under the same roof as SpaceX's Starlink, launch and xAI operations.
Musk said he is conflicted and is not part of the talks. Neither company has released merger terms.
What we don't have yet
The call was an audio-only webcast, and no transcript or replay is public yet. SpaceX's third-quarter results release does not mention Tesla, committees or a merger.
The background on the record
The two companies are already tied together. Tesla's proxy statement, filed Oct. 19, says SpaceX acquired xAI Holdings on Feb. 2, 2026. It also says Tesla completed an investment of approximately $2.00 billion in SpaceX Class A common stock on March 12, 2026.
For more on each company's recent news, see our reports on SpaceX's deal to buy 800 MHz spectrum from Grain for Starlink Mobile and whether you would need a pilot's license for Tesla's flying Roadster.
