Would A SpaceX-Tesla Merger Make Elon Musk Unstoppable?

Eva, thanks so much for joining us today.

Thank you for having me.

So we had all the hype and anticipation around the SpaceX IPO.

That's come and gone.

Now there's chatter about a SpaceX Tesla merger.

We had Wedbush analyst Dan Ives say that he'd be shocked if a Tesla SpaceX merger didn't happen within the next year.

So what's your take on the likelihood here? You're a high conviction SpaceX shareholder.

What are the odds looking like with a combined company?

I would agree with Dan.

I think it will be strategically powerful for SpaceX in the long term.

Usually what happens in this case is we might see pressure on the SpaceX stock price in the short term if that happens.

But long term, that's going to be a strategic decision.

And it goes back to how we analyze SpaceX.

In our view, for your shares, the way we look at SpaceX right now is like a three-engine empire.

And when Tesla gets acquired, and if, that will become a four-engine empire.

So right now we have a SpaceX core, which is the rocket operator that sends 90% of all mass to orbit.

We have Starlink, which has leapfrogged the entire telecom industry, just like a mobile did with landline.

So that is a very disruptive.

They compete with the most bureaucratic companies out there.

And then you also have SpaceX AI, which is the AI arm, which to us has an actual mode because If we're speaking about data centers up in the space, that means that your mode actually becomes the infrastructure.

And the only AI and LLM company that can actually offer it right now is SpaceX AI.

So these three are all three engines that comprise SpaceX right now, and they all have their own modes and they are all interconnected.

now if we add tesla to this that becomes even more powerful because then you have the auto industry uh arm too so we we think there's a very high likelihood for that happening especially the way we see uh elon elon is is like the carnegie or rockefeller of our era the way they combined all the companies they created supply chain, they own the whole supply chain and for their competitors to compete with them, they actually had to use part of their supply chain.

So that's very similar to what Elon is building here.