SpaceX and Tesla discuss merger amid AI ambitions and financial realities

SpaceX and Tesla have formed special committees to discuss a potential merger, with Elon Musk stating there is merit in combining the companies to cooperate on developing superintelligence software. SpaceX reported $7.56 billion in Q3 revenue from its AI division, with 'SI solutions & infrastructure revenues' jumping to $7 billion, largely from renting compute to Anthropic and Google. Meanwhile, Tesla reported declining profits for the second consecutive quarter, despite its focus on self-driving cars and humanoid robots.