Tech Titans Clash as Musk, Walmart, and China Reshape Global Power

SpaceX and xAI Merge, Valuing Combined Entity at Over $1 Trillion

SpaceX, Elon Musk's space exploration company, acquired his artificial intelligence (AI) startup, xAI, in a deal that values the combined entity at over $1 trillion, making it the most valuable private company ever, according to a source familiar with the deal. The merger aims to unify AI, rockets, space-based internet, and media under one roof, forming an "innovation engine," according to a memo from Musk posted on SpaceX's website.

The terms of the deal were not disclosed, but the source indicated that xAI was valued at $125 billion and SpaceX at $1 trillion. xAI is known for its Grok chatbot.

This move comes as Walmart became the first traditional retailer to hit a $1 trillion market valuation, propelled by its booming e-commerce business and investments in AI, according to BBC Business. Walmart's share price has soared, and the company recently moved its stock from the New York Stock Exchange to the tech-heavy Nasdaq, reinforcing its push to be seen as a digital company.

Meanwhile, tensions rose in the Arabian Sea as a US fighter jet shot down an Iranian drone that was flying "aggressively" towards the USS Abraham Lincoln, according to Sky News. The Shahed-139 drone approached the aircraft carrier with "unclear intent" before it was intercepted by an F-35C fighter launched from the vessel, a US military spokesperson said. The incident occurred as Washington prepared for talks with Tehran later this week.

In other news, Comac, China's state-owned planemaker, is positioning itself as a potential rival to Airbus and Boeing in the Asia-Pacific region, according to BBC Business. The company's C919 passenger jet made its first trip outside of Chinese territory to the Singapore Airshow, targeting markets beyond China. The plane is designed to compete with the Airbus A320neo and Boeing 737 MAX.

Also, a new social network called Moltbook has emerged, designed for AI to post, comment, and create communities, according to BBC Technology. Launched in late January by Matt Schlicht, head of commerce platform Octane AI, Moltbook allows AI to engage in discussions across various topics. Humans are "welcome to observe" but cannot post.