News about Elon Musk

Gary Black of Future Fund predicts SpaceX could announce within weeks an all-stock acquisition of Tesla at $420 per share, framing the Roadster reveal as a step toward combining Elon Musk's companies. Black estimates the Roadster could add just $0.06 a share to Tesla's 2029 earnings, or 1.1% of the $5.40 consensus adjusted forecast, and sees limited brand benefit, while noting TSLA tends to sell off after its events. Gene Munster of Deepwater Asset Management also sees a merger motive behind the showcase, while Morningstar expects the Roadster could draw buyers to Tesla's lineup but forecasts fewer than 2,000 annual deliveries once production ramps. Barclays considers an all-stock SpaceX acquisition of Tesla the most likely structure, with a possible announcement around Tesla's annual meeting or within six to 12 months, though shareholder approvals and antitrust review remain hurdles. Year-to-date, TSLA is down 21% and SPCX is down 9%.

Elon Musk told biographer Walter Isaacson, in a podcast interview reported by Axios, that the US national debt can only be solved with AI and robots, not by trying to save its way out. Musk said his time leading the Department of Government Efficiency (DOGE) showed how hard it is to cut the deficit from within government, because cutting wasteful spending means you make a lot of enemies. The U.S. national debt stood at roughly $40.39 trillion as of Oct. 15, according to Treasury data cited in the report. He added that he should have focused on AI sooner and been more in the background during his time in the Trump administration. The article also notes Tesla's shift toward robotics, and Musk's claim that AI and robots could enable universal high income, a view criticized by NYC Mayor Zohran Mamdani and Sen. Bernie Sanders.

Elon Musk suggested Anthropic should distribute its shares directly to the public, responding to the company's plan to commit 5% of its equity to a new Public Benefit Fund, which could rise by 2% for every 50% increase in valuation above a baseline. Co-founders pledged to donate 80% of their equity, and Anthropic committed $200 million to address AI-driven labor disruption. Critics including David Sacks and investor Vijar Kohli questioned whether the LLC structure serves the public good or could dilute voting rights and complicate the IPO. Anthropic, which confidentially filed for a U.S. listing in June, reported third-quarter revenue of $16.8 billion, up 45% from the previous quarter, but some investors are discussing a valuation near $1.5 trillion, below earlier expectations of $2 trillion.

Tesla (TSLA) shares rose 1% overnight after Elon Musk said the Optimus robot and Cybercab robotaxi would account for most of the company’s value, following the recent unveiling of the flying Roadster. Morningstar calls the Roadster a “halo car” that could lift demand across Tesla’s lineup, with production expected in 2028 and fewer than 2,000 annual deliveries forecast. Musk claimed a peak speed above 0.5 Mach (about 400 mph), while AI researcher Yann LeCun dismissed the demo as impractical, estimating the compressed-air thrust would last less than 10 seconds. Reservations cost $50,000 for Performance and $250,000 for Thrust, but the car is not approved for public roads. Tesla reports earnings on Wednesday, after TSLA fell 7% last week.

From the night of October 13 to 14, SpaceX unexpectedly restricted the speed of Starlink terminals moving in Ukraine, disrupting many missions. President Zelensky said the current maximum speed is 161 km/h and that Starlink would cut out and drones would lose signal above it, while a commander of Ukraine's mid-range UAV unit put the limit at 100 km/h. Reuters, citing sources, reported the restriction came from within the White House, but Trump denied personally ordering it and said he did not believe Elon Musk had either. Musk stated that Starshield is owned and controlled by the US government, and no one in Washington or at SpaceX has accepted responsibility. Even so, Ukraine launched one of the largest drone attacks of the year, targeting an important Russian oil storage facility.

On October 15, Tesla VP of Vehicle Engineering Lars Moravy declared “flying cars are real” at a SpaceX facility in McGregor, Texas, where the second-generation Roadster was demonstrated climbing an inverted track, flipping through the air and landing softly before driving off. The car uses an underbody suction fan and compressed-air cold-gas thrusters to reach 0–60 mph in under one second. The Rocket version sits in a legal gray area, as its high-pressure gas tanks, aerospace-grade valves and protruding nozzles may conflict with NHTSA's federal motor vehicle safety standards, such as the requirement for crumple zones. Tesla's product page says the vehicle is “not approved for public road use,” and Musk said he is not sure it is legal in every jurisdiction; an NHTSA spokesperson said the manufacturer must ensure it does not defy federal standards and drivers must obey local traffic laws.

On October 8, SpaceX agreed to buy Grain Management's nationwide 800 MHz spectrum portfolio to help its Starlink Mobile service reach phones indoors; terms were not disclosed, though The Wall Street Journal put the price at about $8 billion in cash. Shares of T-Mobile, Verizon and AT&T each fell over 10% the next day, while SpaceX stock barely moved and trades near $146, about 31% below its record $211.39 close on June 16. In the second quarter, SpaceX's connectivity segment, which houses Starlink, posted revenue of $4.3 billion, up 66% year over year, and was the only segment with an operating profit; the Grain purchase still needs FCC approval. At a valuation of about $2 trillion, the $8 billion is under 1% of that, but trailing four-quarter revenue of about $23 billion leaves the stock above 80 times sales, and the company lost $4.8 billion in the first half of 2026. The author considers the stock still too pricey, noting that revenue from direct phone service is probably more than a year away and that third-quarter results are due October 20.