SpaceX’s IPO pushed its market cap to $2.1 trillion versus Tesla’s $1.52 trillion, and new S-1 wording hinting at significant equity issuance has reignited merger speculation. Piper Sandler asserted Tesla’s Full Self-Driving technology has reached Level 4 autonomy, citing insurance discounts, Cybercab production and a growing robotaxi network in Austin.
At market close Friday SpaceX reached a $2.1 trillion market cap compared to Tesla’s $1.52 trillion, making it the sixth most valuable U.S.-listed company. This milestone highlights growing investor confidence in space transportation relative to EV manufacturing.
New S-1 document language warns of potential significant equity issuance linked to future transactions, prompting speculation of a Tesla-SpaceX merger. SpaceX’s president suggested that such a merger “might make Elon’s life a little easier,” further fueling discussions.
Analyst Alexander Potter concluded that Tesla’s Full Self-Driving technology has reached Level 4 autonomy in most driving situations. He pointed to factors like insurance discounts for FSD users as a sign of the software’s safety and reliability.
Production of the Cybercab, a purpose-built autonomous vehicle without steering controls, began in April with hundreds of units rolling out weekly. Tesla’s robotaxi service now covers the Austin metropolitan area and aims to launch in seven additional cities by mid-2026.
