Tech bull Dan Ives is predicting a major consolidation of Elon Musk‘s corporate empire, forecasting a highly probable merger between Tesla Inc. (NASDAQ:TSLA) and IPO-bound SpaceX by early 2027.
The Merger Timeline
Speaking to Schwab Network about the potential for the two visionary companies to combine under one umbrella, the Wedbush Securities managing director outlined a specific sequence of events.
Ives predicts that SpaceX’s initial public offering this summer will set the financial stage for a massive corporate tie-up shortly thereafter.
“I think that’s the step process that they’ll go through,” Ives said. “And then ultimately a merger with Tesla… I think 80%, 90% type of chance.” He noted that this historic consolidation would likely finalize in the “first half” of 2027.
Bailout Or AI Evolution?
While Ives views the potential merger as a logical strategic progression for what he calls “the best physical AI play in the world,” other prominent investors are framing the hypothetical deal quite differently.
Ross Gerber, CEO of Gerber Kawasaki Wealth & Investment Management, recently argued that such a transaction might actually serve as a strategic rescue mission for the automaker amid electric vehicle competition and shifting capital expenditures.
“It looks more like SpaceX will be bailing out Tesla buying them over calling it a merger,” Gerber stated on X. He noted that combining the entities would follow a pattern previously seen with xAI and Twitter, predicting the resulting conglomerate “will all be wrapped up as one ball of Elon.”
Shifting Focus To Robotics
The merger speculation arrives precisely as Tesla pivots heavily toward robotics and autonomous technologies. Gerber has openly criticized Tesla’s recent operational decisions, specifically the choice to dial back production on flagship legacy vehicles like the Model S to aggressively fund its Optimus humanoid robot development.
Conversely, Ives remains overwhelmingly bullish, maintaining his ambitious $600 price target for Tesla and defending the company’s long-term trajectory.
He argues that autonomous robotics alone could add an incremental “$1 to $2 trillion” to the company’s market capitalization, ultimately positioning a combined SpaceX and Tesla entity as an unprecedented engineering and technological powerhouse.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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