Elon Musk Sells xAI to SpaceX for $1.25 Trillion, Boosting Net Worth to $800 Billion

Elon Musk executed a historic corporate move by selling his artificial intelligence firm, xAI, to aerospace giant SpaceX for $1.25 trillion. This transaction propelled Musk's net worth to $800 billion.

The merger, announced on Monday, February 2, 2026, will deepen integration across Musk's vast empire. The combined entities will focus on vertical integration, innovation in engineering off Earth, and the development of space-based infrastructure.

The deal will see SpaceX absorbing xAI's flagship products, including the Grok chatbot and ownership of x, formerly Twitter. Musk's long-term vision involves fusing AI development with space-based infrastructure, citing the need for space-based solar power and data centers to support advanced AI.

The deal values SpaceX at roughly $1 trillion and xAI at $250 billion, with expectations of commanding a public market valuation above $1 trillion. Musk's net worth surge aligns with his strategic moves in AI and space technology.