SpaceX, the rocket company founded by Elon Musk, has acquired xAI, the artificial intelligence company founded by Elon Musk.
“Current advances in AI depend on large terrestrial data centers, which require immense amounts of power and cooling,” Elon Musk wrote in announcing the merger. “The global demand for electricity for AI simply cannot be met with terrestrial solutions, even in the short term, without imposing hardship on communities and the environment.”
“In the long term, space-based AI is obviously the only way to scale,” Musk continued. “To harness even one millionth of our Sun’s energy would require more than a million times more energy than our civilization currently uses!”
The combined company is expected to go public at a valuation of $1.25 trillion, Bloomberg reported, noting that xAI recently raised money at a valuation of $230 billion and SpaceX at a valuation of about $800 billion.
