Speaker 0:  and talking about the amount of money involved, elon musk just dropped a massive bomb on the tech industry. that sounds like it was ripped straight out of sci fi novel. he officially merging spacex and his ai company into xai into a single trillion dollar monster that plans to put supercomputers into orbit. if you thought starlink was ambitious, you haven't seen anything yet. spacex is acquiring xai in a share exchange deal that values the combined company at a staggering 1,250,000,000,000.00. this isn't just about corporate shuffling. the goal is vertical integration on a galactic scale. musk plans to build space based data centers, literally launching ai servers into orbit to run on unlimited solar power, solving the massive energy crisis currently facing the ai industry. what do you think about this?

Speaker 1:  yeah. so i just read something about those data centers in space, by the way, and there's so many challenges like radiation. and there's a whole bunch of issues that are coming in that, like, they're just starting to talk about now. so who knows if those are actually gonna take off. so, again, this is this is a weird deal to me because he owns both of these companies. right? and so is this one of those circular things where there's money going from one to another to another to another just to kind of maintain it? and the second question i have is, do people still use grok? i haven't heard of it much lately. i've like, obviously, claude just released their, 4.6 and chatgpt is working on some things, but i haven't heard anything from grok. so, apparently, this transaction was structured as an all stock deal, apparently with careful legal and tax planning to avoid triggering debt repayment clauses and to defer tax obligations. so that's why it's kinda skeptical to me. so the structure, it preserves existing operations while consolidating governance and financial exposure under one umbrella. so, apparently, this also streamlines the path to a potential ipo for spacex later in 2026, which has the potential to become one of the largest public listings ever in my opinion, but we'll have to see what happens. there was some news this morning too that musk is now focusing on the moon instead of mars. so, there's a bunch of stuff going on with him that, like, obviously, this guy is doing a lot, and he seems to know what he's doing. but what do you think about this? is this is this do you think this is a smart move? do you think this is, like, legit, or is this kind of smoke and mirrors?

Speaker 0:  well, to talk about, grok, grok 4.1 was released late january. so along with all the recent things, so they've been, and then there's a bunch of different versions. it's generally well received, but i think it's been overshadowed by the other news. whenever i see this, my brain goes to, oh, it's big boys playing big boy games when you're talking about shuffling this kind of money around. i think it makes sense at some level. but i thought xai was going to merge with tesla, honestly, be to drive the ai powering the robots. that's kinda where i thought there was a merger coming. i just thought it was going to be with tesla. now

Speaker 1:  oh, okay. interesting.

Speaker 0:  the concept, i guess, is that for xai or grok to continue, they need these massive data centers. and we've been talking about this for last year. you know, microsoft, everybody's going nuclear to power their data centers. they're spending billions of dollars. people are, $500,000,000,000 on data centers, and nvidia's all in. now nvidia's all out. now openai is in, and they're gonna get everything's changing. but if there his plan is to i have to compete, and i have to do this, but i'm, i think i'm gonna do it in space. okay. that's interesting. and if you are gonna do that, if your biggest power centers are gonna be in space so you don't have to build nuclear power plants. like, we're talking about saving billions of dollars in energy to house it. so it's not crazy. it's just interesting. so i think with this, it makes sense that elon musk has shifted his focus because it's the goal, i guess, is to power spacex, power tesla, power xai, and keep these companies on the leading edge of everything. and data centers on the moon and in space make a lot more sense than trying to do something on mars.

Speaker 1:  that does make sense. and, also, start small and then get to mars. so, like, prove everything in space at, on the moon, and then expand to mars. i think that's what he's realizing. so his big rocket obviously is ready, but but i think there's a lot more that he's not ready for for mars. and, i think he's he sees that. but the thing about this merger is just there's just yeah. there's the combined entity, it can compete on multiple fronts. so it can compete on space hardware, it can compete on satellite communications, terrestrial, possibly orbital, compute infrastructure, and ai services, which is a very different footprint from traditional tech companies. so he's kind of at the forefront with this merger that makes sense. but to me and, again, i don't understand the structure between the two companies, but why did they need to merge in order to do this, to share this information between each other? right? to me, it seems like it's a merger to save xai more than anything.

Speaker 0:  hey. to me, it's something completely different. if i wanna go past the surface starshield. most people don't even know what starshield is. starshield. most people don't even know what starshield is. starshield is the military product that they use, that they sell to the military, that does all, like, internet anywhere, but also, on satellites, you can use their satellite system to target, and locate targets and target military strikes from, you know, thousand miles away and all this stuff. and saying, okay. well, with the world stepping up to, you know, brics versus nato versus this versus that, what's the next version of the military spend? and if the military is all in on ai powering their planes and powering all these things. elon's saying, i'm gonna be the person with the ai in those things because, you know, i'll be the satellite. we'll be real time. it'll be faster, less delays. so i think we're going after some military contracts where the real money is, and that's kind of the underlying thing behind it. but, you know, that's just logic from my point of view is that if they can start powering militarized weapons and auto targeting and all this stuff with huge ai, you can do so much more. and as soon as you have data centers in the cloud, you can power and you can throw some quantum on top of that. it's a complete game changer. so i think, you know, he's thinking along those lines versus anything else.

Speaker 1:  yeah. yeah. so, yeah, this this will i'll be it'll be interesting to see, where this goes, and, i'm excited for the ipo, for sure, for spacex ipo, and, we'll see how this well, we won't know how this affects it, because it'll already be merged before they they they file their ipo. but this will be interesting.

Speaker 0:  yeah. and the fact that these data centers can run twenty four seven on solar power without taking a planet on earth and, you know, taking up power and resources, that's cool. so, i mean, i like the concept versus what other people are doing. so, with unlimited solar power and space, ai models could much, get faster, much smarter than they could on earth because we don't have the same power power limitations that we're down here. so mhmm. deal's happening now. we'll have to see if it passes regulatory, if anything if anybody steps in on this.

Speaker 1:  i doubt it because he's aligned with some pretty powerful people.

Speaker 0:  well, he is aligned politically, but let's face it. if this is military, specific and whatnot, he'll either have people pulling for him from the military or pulling against them. and there's a lot of money being spent on military contracts. so yeah. we'll have to wait and see. you know, i'd just say that i don't think, you know, raytheon or many of the other people are gonna just take this sitting down is all i'm saying. like yeah. true. yeah. he's not the only one in this game. credits worry about centralization that puts the world's biggest rocket company, a massive internet provider, and a leading ai lab under total control of one person. but i i'm not sure that is all that issue big of an issue, but, because, you know, eventually, it won't

Speaker 1:  be. yeah.

Speaker 0:  like, great. but i don't think elon will be in total control of these things in ten years because if you've got a 100 data centers in space and you got this like, it's impossible. yeah. yeah. so we'll have to see, but maybe he's building the ai that can run all this for him and maybe. but at some point, you have to divest yourself from every functioning company because if you're the only thing that makes it work, then, you know, it's gonna go away at some point. so, if this helps the energy crisis, if it, you know, looks like it's gonna help the investors, scaling to make a sentient sun to understand the universe and light of consciousness to the stars is, what musk put in an eternal memo. by moving the ai power consumption problem to space, musk might just solve the problem, the biggest bottleneck in tech history. if rockets don't melt the servers first, is this a genius move that saves the energy grid or a trillion dollar sci fi fantasy? let us know what your thoughts are in the comments, and we'll keep watching the skies.