Barclays analyst Dan Levy says Elon Musk’s two publicly traded companies, Tesla and SpaceX, could announce a merger within the coming weeks, possibly before Tesla’s annual shareholder meeting.

Investor’s Business Daily reports that Tesla’s annual meeting is expected on or before December 6, and Levy says an early announcement would let shareholders vote on the deal at that meeting. Wall Street has floated the idea of a Tesla-SpaceX tie-up since SpaceX went public in June in the biggest IPO ever.

Levy framed the possible deal in AI terms. “The merger would likely be pitched as an AI vertical integration play,” he wrote in an analysis, adding that it would involve “combining the physical AI aspects of Tesla (i.e., Robotaxi, Optimus) with the virtual AI aspects of SpaceX (i.e., Grok, Macrohard).”

Musk usually brushes off questions about a potential merger, citing SEC rules for public companies. But he sounded different last month at the All In Summit in Los Angeles, when someone asked why SpaceX and Tesla remain separate. “With all this collaboration on so many levels, you can imagine an action one might take when there is so much close collaboration in so many areas,” he said.

And the collaboration runs deep. SpaceX and Tesla are jointly building the Terafab semiconductor factory in Texas, which, as designed, would be the largest chip fab in the world and likely cost hundreds of billions of dollars to build. Levy noted that a combined company would need sign-off from only one board to push Terafab forward, instead of coordinating two separate corporate structures.

The ties go further. SpaceX buys cars and energy storage systems from Tesla. Tesla is fitting Starlink terminals into its Cybercab robotaxis. And Tesla’s earlier $2 billion investment in Musk’s AI lab, xAI, converted into a stake in SpaceX after SpaceX bought xAI.

Breitbart News reported today that Musk made massive waves with the introduction of his flying Tesla Roadster, which incorporates SpaceX technology:

The 55-year-old SpaceX founder unveiled his flying roadster in front of a live audience, with Tesla livestreaming the demonstration. No human sat behind the wheel. Controlled remotely and built with a steer-by-wire system, the EV utilizes a system of four cold gas thruster (CGT) nozzles adapted from SpaceX to take to the air.

In one demonstration, the flying roadster accelerated towards a line of Tesla vehicles, only to take off vertically and fly over them:

 

Read more at Investor’s Business Daily here.

Lucas Nolan is a reporter for Breitbart News covering issues of AI, free speech, and online censorship.