Wedbush analyst Dan Ives stated during a Monday CNBC interview that he would be 'shocked' if Space Exploration Technologies Corp. and Tesla Inc. do not merge over the next year. Ives cited synergies between the two companies, cross-pollination opportunities, and the strategic advantage of consolidating AI technology under one entity as reasons for the potential merger. The statement follows SpaceX's initial public offering last week.
Ives Cites Synergies and AI Consolidation as Merger Drivers
During the CNBC interview, Ives highlighted potential synergies between SpaceX and Tesla. "When I look out over the next year, I continue to view that... I would be shocked if it doesn't happen, just given the synergies, given the cross-pollination, and also for Musk himself, I think it makes the most sense to have all that AI technology under one hood, especially given the controlling nature of SpaceX," Ives said.
Ives stated that a merger is not SpaceX's current priority. "It's all a game of high stakes poker, that's not the first priority right now. It's about SpaceX, it's about launches, Starlink," he added.
Ives States Tesla Shareholder Support Depends on Valuation
Ives stated that Tesla shareholders' support for a potential merger would depend on the valuation and price offered in the deal. He did not provide specific valuation figures or price ranges.
SpaceX COO Acknowledges Synergies Between Companies
SpaceX COO Gwynne Shotwell stated during a separate CNBC interview that synergies exist between Tesla and SpaceX. "In our future, there is definitely a convergence of kind of what we're all trying to accomplish in the future. But right now, I'm focused on keeping the lights on here, keeping rockets in production, flying rockets, flying people, getting to the International Space Station, and critically, providing broadband to folks that don't have access," Shotwell said.
Ives States OpenAI and Anthropic Will Go Public
Ives stated that frontier AI labs OpenAI and Anthropic will have to go public. "It's not just SpaceX. Look at OpenAI, Anthropic... everyone else is going to ultimately have to go public because of the arms race, because of data," he said.
Both OpenAI and Anthropic filed confidential draft S-1 registration statements with the U.S. Securities and Exchange Commission this month in preparation for initial public offerings.
Stock Performance Data for SpaceX and Tesla
SpaceX shares were up nearly 6% in Monday's pre-market trade. Tesla shares were up more than 1% in Monday's pre-market trade. SPCX stock is up 19% year-to-date. TSLA stock is down 10% year-to-date.
FAQ
What did Dan Ives say about a SpaceX-Tesla merger on Monday?
Dan Ives stated during a Monday CNBC interview that he would be "shocked" if SpaceX and Tesla do not merge over the next year, citing synergies, cross-pollination, and AI technology consolidation as reasons.
Why does Dan Ives think a SpaceX-Tesla merger makes sense?
Ives cited synergies between the two companies, cross-pollination opportunities, and the strategic advantage of having all AI technology under one entity, especially given Elon Musk's controlling nature of SpaceX.
What did SpaceX COO Gwynne Shotwell say about synergies with Tesla?
Shotwell stated during a CNBC interview that there is a convergence in what Tesla and SpaceX are trying to accomplish in the future, but her current focus is on SpaceX operations including rocket production, launches, and providing broadband access.
