Core Insights - Elon Musk indicated that his companies are "trending towards convergence," suggesting potential integration among Tesla and xAI [1] - A non-binding proposal for Tesla to invest in xAI did not pass during a recent shareholder meeting [2] - Morgan Stanley emphasized the importance of xAI for Tesla, suggesting that investors may not fully grasp its significance [3] Tesla and xAI Relationship - Tesla is reportedly working closely with xAI, which is developing the AI model Grok [3] - Musk has previously expressed support for Tesla investing in xAI, although the final decision lies with shareholders [4] - There have been multiple shareholder proposals regarding investment in xAI, indicating ongoing interest in collaboration [4] Market Sentiment - Anthony Scaramucci suggested that a merger between Tesla and xAI seems "inevitable," reflecting Musk's efforts to integrate AI into his companies [4]