Deals
Why Tesla Could Merge With SpaceX
- Morgan Stanley analyst sees CEO devoting more time to rockets
- Companies have collaborated on manufacturing, software lately
Outer Space Is About to Get a Whole Lot Closer
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A Morgan Stanley analyst said Tesla Inc. could struggle on its own and that Elon Musk’s attention may wander more toward his other-worldly endeavors, potentially leading to a combination with SpaceX.
Tesla faces “fierce” challenges from better-capitalized companies pursuing sustainable transportation, Morgan Stanley’s Adam Jonas wrote in a report Tuesday. SpaceX’s rocket-launching business is less susceptible to competition and could become a more time-consuming focus of the chief executive officer that the two companies share, he said.