Tesla-SpaceX Merger: Combined Entity Estimated at $3.5 Trillion

Musk cited overlap in robotics and chip design as rationale for the tie-up, with the merged firm projected to reach a $3.5 trillion valuation.

Elon Musk detailed justifications for pursuing a merger between Tesla and SpaceX, pointing to synergies in robotics and chip design between the companies, Fox Business and Globes reported. Musk described the deal as "a good idea," following the establishment of special committees by both firms to review the move.

According to a report by Globes, the merged entity would integrate space technologies with flying vehicles, and its combined valuation is estimated at approximately $3.5 trillion. Further details regarding the proposed transaction structure, financial terms, and execution timeline have not yet been released.