by Elsie Clark | May 21, 2026 | Innovation
SpaceX CEO Elon Musk has announced the aerospace company’s intention to file a public IPO.
SpaceX values itself at an impressive US$1.25 trillion. Covering space exploration, satellite firm Starlink, and subsidiary xAI, the firm’s activities are innovative and often controversial. The move to go public would turn Musk, already the world’s wealthiest man, into a trillionaire.
Financial records show SpaceX made a loss in the first quarter of 2025, earning US$4.7 billion in sales but operating at a net loss of $4.3 billion. Starlink was the only arm of the business to turn a profit in those three months: its constellation of low-earth orbit satellites had quickly established it as a leading connectivity provider, including through high-value deals with airlines such as United and Qatar Airways.
Nevertheless, investors remain excited about the huge potential surrounding SpaceX. From establishing civilisation on Mars to orbital data centres, the company’s projects sprawl across the spectrum of aerospace technology.
xAI and the social media platform X, formerly known as Twitter, also fall under the SpaceX remit. These ventures have attracted criticism, especially the lack of safeguarding when using the AI chatbot Grok. xAI was cited as a potential risk under SpaceX’s IPO.
SpaceX’s dominance in the industry has concerned competitors. Airbus, Leonardo, and Thales agreed a €10 billion deal last year to combine their aerospace and defence businesses in an effort to create a credible European rival to the Musk-led company.
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by Elsie Clark | Feb 3, 2026 | AI & ML, Connectivity, Innovation
Two of Elon Musk’s key businesses, SpaceX and xAI, are to merge as the tech mogul consolidates his business interests. Experts suggest the merger will create the world’s most valuable private company.
Operating across space and satellites, SpaceX has become one of the most well-known aerospace businesses. Its Starlink constellation of low-earth orbit (LEO) satellites is becoming increasingly valuable as a global connectivity provider, with multiple airlines signing deals for inflight WiFi through Starlink. xAI, meanwhile, is best known as the operator of the AI chatbot Grok, which has hit the headlines for generating explicit material and incorrect statements.
Estimates currently value xAI at US$125 billion, and SpaceX at US$1 trillion. A statement signed by Musk and shared on the SpaceX website said:
SpaceX has acquired xAI to form the most ambitious, vertically-integrated innovation engine on (and off) Earth, with AI, rockets, space-based internet, direct-to-mobile device communications and the world’s foremost real-time information and free speech platform.
The post adds that ‘space-based AI’ and ‘orbital data centres’ will be the focus of the merger. Musk explains:
My estimate is that within 2 to 3 years, the lowest cost way to generate AI compute [sic] will be in space. This cost-efficiency alone will enable innovative companies to forge ahead in training their AI models and processing data at unprecedented speeds and scales, accelerating breakthroughs in our understanding of physics and invention of technologies to benefit humanity.
He notes that the project will eventually involve factories on the Moon and expansion throughout the Universe, a cherished personal goal for Musk who has long nurtured the idea of establishing human civilisation on Mars.
SpaceX has proven to be an incredibly disruptive force in the aerospace world. Its dominance has forced its rivals Airbus, Leonardo, and Thales, to merge their aerospace operations in a bid to establish a credible European alternative to the Texas-based giant. While Elon Musk loves to make big promises, it can’t be denied that SpaceX, as well as his other companies including xAI and Tesla, have been incredibly impactful on their respective industries. What comes from merging his AI and aerospace businesses, whether it’s data centres in space or the promised factories on the Moon, will be eagerly anticipated across the industry.
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by Elsie Clark | Oct 23, 2025 | Connectivity, Innovation
Airbus, Leonardo, and Thales have agreed to a much-anticipated business deal that will see them pool their space businesses together.
Such a project has been under discussion for months now, as the European defence giants seek to establish a rival to SpaceX, Elon Musk’s US-based satellite and space exploration businesses.
Now, the three companies have signed a memorandum of understanding to build a new entity that combines their space businesses. It is hoped that the deal will improve operational agility and consolidate Europe’s position in the aerospace industry by establishing an autonomous alternative to SpaceX’s Starlink, the low-earth orbit (LEO) satellite connectivity project.
In a joint statement, Guillaume Faury, CEO Airbus, Roberto Cingolani, CEO Leonardo, and Patrice Caine, CEO Thales, said:
This proposed new company marks a pivotal milestone for Europe’s space industry. It embodies our shared vision to build a stronger and more competitive European presence in an increasingly dynamic global space market.
By pooling our talent, resources, expertise and R&D capabilities, we aim to generate growth, accelerate innovation and deliver greater value to our customers and stakeholders. This partnership aligns with the ambitions of European governments to strengthen their industrial and technological assets, ensuring Europe’s autonomy across the strategic space domain and its many applications
The new entity will have an annual turnover of €6.5 billion and employ 25,000 people. Regulators are expected to approve the deal, meaning the new business could be operational by 2027. Ownership will be shared between the three companies, with Airbus, Leonardo, and Thales holding 35%, 32.5%, and 32.5% respectively
Each company will contribute to the new entity as follows:
- Airbus: Space Systems and Space Digital businesses
- Leonardo: Space Division, including shares in Telespazio and Thales Alenia Space.
- Thales: Shares in Thales Alenia Space, Telespazio, and Thales SESO.
Full governance structures will be established in due course. The announcement will strengthen and centralise the European aerospace industry, while also offering new opportunities for innovation.
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