SpaceX’s S-1 filing outlines interconnected relationships among Musk-linked companies, including payments, goods, and services totaling more than $660 million last year. The filing notes potential conflicts of interest while stating that investors benefit from the arrangements. The largest intercompany expenses fall under commercial, licensing, and support. SpaceX paid Tesla $144 million under these agreements, while xAI paid Tesla $506 million and also generated $2 million in revenue from Tesla. Most cumulative spending between SpaceX and Tesla totaling about $650 million involved Megapack battery storage products. SpaceX also purchased $131 million of Tesla Cybertrucks, and Tesla paid $4 million for advertising on X.
"SpaceX said in the filing that there may be "conflicts of interest," but ultimately, they benefit investors. It's not uncommon for companies with certain ties to do business with one another and to spell out these relationships in a prospectus filing when they plan to go public. The breakdown in SpaceX's S-1 is the first look we're getting at some of its connections, including SpaceX's deals with The Boring Company or its purchase of Tesla Cybertrucks."
"The biggest expenses between the companies fell under the banner of "commercial, licensing, and support." Last year, SpaceX paid Tesla $144 million under such agreements, a figure significantly higher than in years past. xAI, then a separate entity, spent more, paying Tesla $506 million last year. xAI, then a separate entity, spent more, paying Tesla $506 million last year, while also bringing in $2 millon in revenue from Tesla."
"The majority of SpaceX's cumulative $650 million in spending with Tesla was for Megapack products, Tesla's battery storage system. SpaceX also bought $131 million worth of Cybertrucks, which, at a starting retail price of $69,990 a pop, would be as many as 1,871 vehicles. Additionally, Tesla paid $4 million last year to advertise on X."
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