Yahoo Finance·2026-02-09 12:20Group 1 - The potential IPO of SpaceX is a significant financial storyline in 2026, with discussions ongoing between SpaceX and investment banks [1] - A merger between SpaceX and xAI has been announced, valuing the combined entity at $1.25 trillion, which adds intrigue to the potential IPO [2] - The merger is seen as strategically beneficial, aligning with Musk's long-term vision of integrating SpaceX with Tesla, which recently approved a $2 billion investment in xAI [3][4] Group 2 - The technological synergy between xAI and SpaceX is highlighted, as SpaceX's data collection capabilities can enhance AI applications, particularly in autonomous systems and predictive modeling [5][6] - Satellites and rockets are described as distributed processors, facilitating new use cases in AI execution, emphasizing the importance of space in the AI landscape [6] - Alphabet is identified as a top investment pick at the intersection of AI and space exploration, with a significant presence in the space economy alongside its diverse AI ecosystem [7]