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SpaceX Handset Prototype Reported as Musk Denies It

An unverified investor preview tied to SpaceX’s xAI purchase along with Starlink efforts has already moved markets.

Overview

  • The Wall Street Journal reported Wednesday that SpaceX showed select investors a slim, handset-like prototype described as thinner than an iPhone.
  • Reports say the device would run a proprietary operating system, use xAI’s Grok models for AI features, and be powered by a Qualcomm Snapdragon chipset.
  • Elon Musk posted on X that the story is "utterly false," leaving the prototype’s existence and development plans publicly disputed.
  • Markets reacted to the coverage with SpaceX shares sliding roughly 7% and Qualcomm stock rising on the suggestion it would supply chips.
  • Analysts and outlets stress the project is early-stage with no official announcement, and note the move fits a broader strategy to combine native AI, Starlink connectivity and services if the product ever reaches consumers.