SpaceX (NASDAQ:SPCX) disclosed that it bought $295 million of Tesla Inc. (NASDAQ:TSLA) Megapack batteries during the second quarter, highlighting the circular flow of capital, hardware and equity across two of Elon Musk’s biggest companies.
Tesla Purchases Deepen Musk Company Ties
The rocket maker’s quarterly filing showed Megapack purchases reached $329 million during the first half. SpaceX had already bought $506 million of the batteries and $131 million of Cybertrucks by the end of 2025. The filing classifies them as related-party transactions.
The timing suggests the batteries are supporting xAI’s data centers after SpaceX absorbed the AI company in February. Tesla says Megapacks can provide reliable data-center power, prevent outages and balance electricity supply and demand.
The disclosure adds another link to Musk’s empire. Tesla invested $2 billion in xAI before that stake converted into SpaceX equity, while earlier filings exposed nearly $890 million in transactions.
First Earnings Highlight Growth And Spending
SpaceX’s first earnings report since its June IPO showed why those links matter. Revenue nearly doubled to $7.81 billion from $4.07 billion, while its net loss narrowed to $541 million, or 9 cents per share. Starlink revenue climbed 66% to $4.29 billion and subscribers doubled to 12 million.
The AI segment generated $2.56 billion in revenue but lost $1.26 billion from operations. Total capital spending reached $18.37 billion, including $15.83 billion for AI infrastructure. Musk defended the outlay, saying, "We’re building AI compute capacity at scale faster than anyone else, we believe, and we’re significantly improving our AI models."
Merger Speculation Meets Regulatory And Dilution Risks
Investors are weighing whether the commercial ties foreshadow a Tesla-SpaceX merger. Musk recently cited "more and more overlap" between the companies but said any combination required "the appropriate process."
Artemis Investment Management’s Harry Eastwood told Reuters on Tuesday that a merger "makes sense" and could broaden SpaceX’s investor base. Wedbush’s Dan Ives, meanwhile, has placed the odds of a tie-up as high as 80% to 90%.
Others remain skeptical. Future Fund’s Gary Black estimates a deal could dilute Tesla shareholders by 28%, while Reuters notes Tesla’s China operations could create national-security and regulatory complications because SpaceX relies heavily on U.S. defense contracts.
Benzinga edge rankings indicate SPCX stock has a negative price trend across the short, medium, and long term.
Price Action: SpaceX stock was trading 10.64% lower at $112.00 in pre-market trading on Wednesday.
Login to comment