During a conference call about Tesla's financial results, Elon Musk addressed rumors regarding a possible merger with SpaceX, mentioning that there is an increasing overlap between the two companies. Although he did not confirm a merger, he emphasized the need to follow proper procedures.
Discussions about a merger have intensified following SpaceX's record IPO. Musk gave the floor to Tesla's legal director, Brandon Ehrhart, who highlighted the beneficial relationship between the two companies. Gene Munster, a Tesla investor, now estimates the chances of a merger at 90%.
Tesla is already supplying batteries for SpaceX projects, and both companies are collaborating on the development of a semiconductor factory.
Merger supporters believe it would create a strong industrial group, while others warn about regulatory hurdles, especially in China, and the complexity of ownership structures.
Sources
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