# Elon Musk's rocket venture, SpaceX, announced on Monday that it had bought xAI.

*genai · news · 2026-02-03 · Barchart*

## Key points

- SpaceX has acquired xAI, merging Musk's AI and space ventures into a single company.
- Musk estimates AI compute in space will become the lowest-cost option within 2 to 3 years.
- xAI is investing $20 billion in a large data center called MACROHARDRR near Memphis, Mississippi.
- Outside investor 1789 Capital, linked to Donald Trump Jr., invested over $1 billion in Musk's companies.

**Companies:** SpaceX, Tesla, Microsoft, xAI
**Countries:** United States

[Read the full story on Barchart](https://www.barchart.com/story/news/37368350/musk-inc-billionaire-combines-his-rocket-and-ai-businesses-before-an-expected-ipo-this-year)

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