SpaceX and Tesla merger could be agreed within weeks, report claims

Talks are moving quickly

A merger between SpaceX and Tesla could be agreed within weeks, according to TechRadar, which cites reporting by Bloomberg. The two companies' boards are said to be working through the terms of the deal and the governance structure of the combined business.

Bloomberg suggests an agreement could be reached as soon as December, which is only a short time away. The report also notes the timetable could slip, with the deal possibly moving into 2027. Nothing has been confirmed by either company, so the timing remains unconfirmed.

Bloomberg describes the potential combination as one that could redefine the limits of global dealmaking. If it goes ahead, it would bring together space exploration, electric vehicles and battery technology under one corporate roof.

A $3 trillion combined company

The scale of the deal is unusual even by the standards of large mergers. TechRadar reports that SpaceX is valued at $1.9 trillion and Tesla at $1.5 trillion, which would make the combined group worth about $3 trillion.

That would place the merged firm among the largest and most valuable companies in the world. It would also concentrate an unusually wide range of businesses, from rockets and satellites to cars and batteries, in the hands of one chief executive.

The merger is reportedly linked to Elon Musk's ambition to build what he calls a sentient sun in outer space. He has described it as a kind of manmade satellite constellation that would act as a space-based data centre system, powered by sunlight through built-in solar panels. The project is named Starmind.

The solar order behind the plan

SpaceX has placed a large order with the German equipment maker Singulus to support this plan. TechRadar reports that the order covers 100 gigawatts' worth of solar equipment and is reportedly worth $69 million.

Musk later clarified an important detail: the order is for equipment that can produce 100GW of solar hardware each year, not a single one-off purchase. Because the order covers manufacturing equipment rather than finished solar cells, it suggests SpaceX intends to build its space-bound panels itself rather than buy them ready-made.

There are significant hurdles, though. TechRadar notes that SpaceX's 2026 filings with the SEC, the United States securities regulator, indicate the company would need to carry out thousands of satellite launches every year to reach this target. Some sceptics also argue that running such a system in orbit could prove too expensive to be practical.

Manufacturing is expected to start in 2027 at the Bastrop site in Texas that Musk operates, which is around the time the merger could be completed.

Political and security questions

A deal of this size would not only face commercial scrutiny. TechRadar reports that Democratic lawmakers are likely to pay close attention, now that the party controls both houses of Congress and has pledged to investigate Musk's business dealings.

There are also unresolved questions about national security. SpaceX holds government contracts, while Tesla has a large presence in China, and it is not yet clear how a combined company would manage that tension. These concerns could shape how regulators and politicians respond to the merger.

For now, readers should treat the December timetable as a claim from Bloomberg rather than a confirmed date. If the boards do agree terms, the formal combination and any regulatory review would follow, and the Starmind project would give the merged company an ambitious, if unproven, technical goal.