Elon Musk's SpaceX has acquired his AI company, xAI

Last year, Musk's AI company bought his social media company, X. CANADA - 2026/01/31: In this photo illustration, the SpaceX (Space Exploration Technologies Corp - Space X) logo is seen displayed on a smartphone screen. The merger will "form the most ambitious, vertically-integrated innovation engine on (and off) Earth, with AI, rockets, space-based internet, direct-to-mobile device communications and the world's foremost real-time information and free speech platform," Musk wrote in an update. The AI company that right now is best known for its CSAM-generating chatbot might seem like a strange fit for a rocket company. But SpaceX is key to Musk's latest scheme to build AI data centers in space. In his update, Musk wrote that "global electricity demand for AI simply cannot be met with terrestrial solutions" and that moving the resource-intensive operations to space is "the only logical solution."