New York, Jan 30, 2026, 16:02 (EST) — After-hours
- Tesla shares rose about 4% after a report on SpaceX-xAI talks; Bloomberg said a Tesla tie-up was also being weighed
- The chatter lands days after Tesla outlined more than $20 billion in 2026 capital spending aimed at autonomy and robotics
- Broader U.S. stocks fell as investors digested Trump’s Fed pick and hotter producer-price data
Tesla shares rose on Friday after reports that SpaceX was in talks to merge with xAI and Bloomberg News said SpaceX was also considering a merger with the electric-vehicle maker. The stock was up 4.1% at $433.58 late in the regular session, after touching $439.75. 1
The merger chatter lands as Tesla tries to sell itself as an AI-and-robotics story and not just a car company. It said it would more than double capital spending — “capex,” money for factories and equipment — to more than $20 billion this year, and Vaibhav Taneja said most of it would go to Cybercab autonomous vehicles, Optimus robots, semi-trucks and battery and lithium projects. “The bigger story is the business model transition now underway,” said Scott Acheychek, chief operating officer at REX Financial, after Tesla lost its global EV sales crown last year to China’s BYD. 2
Reuters reported on Thursday that SpaceX was in discussions to merge with xAI ahead of a planned IPO — a stock market listing — and that filings showed two entities were set up in Nevada on Jan. 21 to facilitate the talks. Under one structure being discussed, xAI shares would be exchanged for SpaceX shares, a person briefed on the matter said, adding that no final agreement had been signed. “Musk has too many separate companies,” said Dennis Dick, chief market strategist at Stock Trader Network; Musk and the companies did not respond to requests for comment. 3
Tesla’s move came against a weaker market backdrop. The Dow was down 223.53 points, the S&P 500 shed 24.45 points and the Nasdaq lost 153.11 points after Donald Trump said he would nominate Kevin Warsh to lead the Federal Reserve, while producer prices rose more than expected. Warsh would take over when Jerome Powell’s term ends in May, if the Senate confirms him. 4
The stock is also rebounding after a rough read-through from earnings. Tesla fell 3.5% on Thursday after reporting results, as investors rotated out of tech and punished Microsoft on concerns that heavy AI spending was outrunning the payoff. 5
For traders, the consolidation angle adds a new variable to Tesla’s pitch: more computing, cash and attention inside one Musk orbit, or more distractions. Either way it is the sort of headline that can move the stock without waiting for a delivery report.
But there is no guarantee any deal happens. Big combinations can draw scrutiny, and Tesla’s own spending plan raises a simpler risk — cash gets tighter if car demand fades faster than the new autonomy and robotics bets arrive.
Next up is the re-open on Monday, and then the U.S. jobs report due Feb. 6, a key marker for rate bets that can wash through high-growth stocks. Any update — even a denial — on the reported talks could keep Tesla volatile into next week. 6
