Elon Musk says Tesla and SpaceX have established committees to evaluate a potential merger

Tesla and SpaceX have set up special committees of independent directors to explore a potential combination of the two companies, Chief Executive Elon Musk announced during SpaceX's third-quarter earnings call. Musk voiced clear support for unifying his business empire, calling the idea a good one while noting that any final decision ultimately rests with shareholders. [3][4]

Because of his dual leadership role, Musk explained that he is excluded from the committee deliberations as a conflicted party, describing the formal process as an "odd kabuki dance." Meanwhile, signs of alignment between the two boards have surfaced elsewhere. A proxy filing for Tesla's 2026 annual meeting revealed that Ira Ehrenpreis, who chairs Tesla's compensation and governance committees, joined SpaceX's board in February. [4][5]

The merger talks follow a transformative year for SpaceX, which acquired Musk's artificial intelligence venture, xAI, in February before staging a record-breaking initial public offering in June. Tesla's recent proxy materials also include provisions such as auto-voting mechanisms and executive compensation terms pegged to deal valuations, further fueling expectations of an impending tie-up. [3][5]