Comment by lukevp
18 hours ago
I read this as 2 phrases
“I agree with Elon now”
Meaning now I agree, and
“that SpaceX and Tesla are the 'same' company”
With ‘same’ in quotes meaning they are not literally the same but conceptually they are the same.
FTR I do not agree they are the ‘same’ company and I think the circular relationships between Musk’s companies is kind of like a shell game.
Sorry I did not mean to be vague you hit the nail on the head but I think the circular relationships he's made between his companies has real pay off.
Seems super strange to have 2 seemingly successful companies with huge market caps and you want to merge them?
There are two big advantages for Musk…
1. Power. He can amass more power by concentrating it in SpaceX. There was a lot of financing needed getting Tesla to mass produce vehicles… where Musk likely conceded more power (and money) than he wanted.
2. SpaceX (sans xAI and Xitter) is the one business he’s got really generating a profit and likely will be able to continue that trend. It lets him paper over financial issues that would show up in the balance sheets of individual companies.