On February 2, 2026, it was announced that the scale of technology transactions was changing. SpaceX acquired xAI, combining its rocket and satellite business with a company that invests in chips, data centers, and energy. In a nutshell, a private company worth $1.25 trillion was created, bringing together orbital infrastructure and artificial intelligence infrastructure under one roof.
A record that erased the history of the old world of mergers and acquisitions
This transaction set a new benchmark for what is considered big in the business world. The agreement values xAI at $250 billion and SpaceX at $1 trillion. Together, that’s $1.25 trillion, a level that until recently belonged only to the world’s largest publicly traded companies.
The symbolism of this record is even more striking when compared to the previous historical high. The largest merger and acquisition (M&A) to date was held for more than 25 years by a transaction in 2000, when Vodafone bought Mannesmann for $203 billion. This comparison shows how quickly the value of infrastructure projects in the fields of artificial intelligence and space has grown.
What exactly is stated in the documents
The agreement is structured so that xAI investors will receive a stake in SpaceX. The exchange ratio is 0.1433 SpaceX shares for each xAI share. Some members of xAI’s management have the option to choose cash instead of shares, at a rate of $75.46 per xAI share.
Information related to the transaction also includes an internal reference price at which the shares of the affiliated company are expected to be valued. The amount stated is approximately $527 per share. The context of recent private valuations is also important: SpaceX was recently valued at $800 billion in an insider transaction, and xAI was valued at $230 billion in November 2025.
Why the story of artificial intelligence is moving into space
At the heart of this connection is the ambition to move some of the most demanding artificial intelligence computations off Earth. Elon Musk argues that within two to three years, space infrastructure could be the cheapest place to power cutting-edge artificial intelligence systems, as terrestrial data centers are reaching their limits in terms of electricity and water. One company combines access to rockets into orbit, satellite connectivity, and AI development into a single vertically integrated entity.
The most concrete sign of this strategy is an application for a license to build a system of up to 1 million satellites that will use solar energy in orbit to power AI computing nodes. Such a number is not just a marketing ploy, but also a logistical and regulatory challenge that places enormous demands on manufacturing, launch, operations management, and coordination with spectrum rules and orbital standards.
The pressure this plan exerts is very evident on Earth today. The International Energy Agency expects global demand for electricity from data centers to double by 2030. The problem is even more tangible when it comes to water: an average medium-sized data center can consume approximately 1.4 million liters of water per day for cooling, and a large part of indirect consumption also occurs during electricity generation. That’s why Microsoft announced an initiative in January 2026 to reduce water consumption in data centers, and PJM Interconnection is working on accelerated connection of large loads and backup sources, as demand is growing faster than network capacity.
The stock market reacted immediately
On February 3, 2026, the impact of this announcement was also felt in smaller publicly traded space stocks before the market opened. In pre-market trading, shares of Rocket Lab and Planet Labs rose about 3%, while shares of AST SpaceMobile, Globalstar, Intuitive Machines, and Redwire also rose several percent. With such movements, headlines and rising trading volume are often enough, while the actual impact on these companies’ revenues cannot yet be meaningfully calculated.
In the current situation, the question arises as to whether this is just a short-term effect or whether there is room for aggressive market sentiment. Musk has a long history of situations where his public statements have triggered sharp price movements, followed by legal or regulatory consequences. The most famous example is August 2018, when claims about Tesla’s possible delisting led to a dispute with regulators and rules for monitoring selected statements, and similar allegations also arose in the case of Dogecoin, where, however, the court dismissed the manipulation lawsuit in 2024.
IPO on the horizon
The merger comes at a time when there is speculation that SpaceX is planning a public offering as early as 2026. Expectations have shifted to a scenario in which the IPO could value the company at more than $1.5 trillion. Such a level would in itself change the ranking of the largest IPOs and explains why there is discussion in the market about the timing, structure, and what will be considered the main source of revenue and margins. [1]
The second layer is regulation and risk control. SpaceX has federal contracts with NASA and the US Department of Defense worth billions of dollars, and intelligence agencies are also entering the game. With such a profile, questions naturally arise regarding governance, conflicts of interest, and how the movement of people, technology, and contracts between entities will be assessed, especially when everything is concentrated under one owner.
Anna Šuhajdová, Chairwoman of the Board of Directors Capital Markets, o.c.p., a.s.
* Past performance is no guarantee of future returns.
[1] Forward-looking statements represent assumptions and current expectations that may not be accurate or are based on the current economic environment, which may change. These statements do not guarantee future performance. Forward-looking statements are inherently subject to risk and uncertainty because they relate to future events and circumstances that are not currently known, and actual developments and results may differ materially from those expressed or implied in any forward-looking statements.
Sources:
https://www.sec.gov/newsroom/press-releases/2018-226
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