Tesla

By Ty Roush , Forbes Staff. Elon Musk on Wednesday deflected questions about a direct merger between his SpaceX and Tesla during the automaker’s earnings call, following months of speculation about a future tie-up of his two firms as the world’s richest person said there is increasingly more “overlap” between them. ” There is “more and more overlap” between Tesla and SpaceX, Musk said, referencing Starlink’s integration into Cybertrucks—and later inclusion in all Tesla vehicles, according to Musk—and TeraFab , a proposed AI chip manufacturing venture between Tesla, SpaceX and xAI, which is now a SpaceX subsidiary.

” In response to Langan’s question, Tesla’s general counsel said the automaker will “continue to benefit from our relationship with SpaceX,” citing “numerous beneficial transactions” and investments between them. 2 billion, according to FactSet. The firm posted earnings of 33 cents per share, however, which fell well below estimates of 55 cents. Tesla also reported its first quarter of negative free cash flow in more than two years, running just over $1 billion in the red, as chief financial officer Vaibhav Taneja reiterated Tesla planned to spend more than $25 billion this year, noting that figure will likely rise in the coming years.

Some analysts have suggested that Tesla and SpaceX could merge, as Musk has worked to fold his companies into one another. ” Musk reportedly discussed the possibility of combining the two companies, and Tesla employees have purportedly said many workers at the company are expecting a transaction to take place.