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Musk’s SpaceX May Be Building an AI Phone

Elon Musk has repeatedly dismissed the idea of making a smartphone, once saying the concept made him want to die. Yet a new report suggests his companies may be doing exactly that, even if he refuses to call it a phone.

What the Report Claims

According to the Wall Street Journal, SpaceX showed investors a prototype of a slim, handset-like AI device ahead of its initial public offering. The report indicates the gadget would run on a custom operating system, tap into AI capabilities from Musk’s xAI division, and use a Qualcomm Snapdragon chipset. SpaceX reportedly told investors the project remains in early development, its design isn’t finalized, and it may never actually launch. Musk has pushed back publicly, calling the report entirely inaccurate.

A Bigger Ambition Than Hardware

The device reportedly fits into Musk’s long-standing vision for an “everything app” that would fold messaging, payments, and AI assistance into a single platform, an approach modeled loosely on China’s WeChat. Paired with Starlink’s satellite internet and xAI’s Grok chatbot, such a device could give Musk a consumer technology ecosystem that operates independently of Apple’s and Google’s platforms, from connectivity to software to hardware.

Musk isn’t alone in eyeing this space. OpenAI is reportedly developing its own AI-focused device alongside Jony Ive, Apple’s former chief design officer, signaling that multiple tech leaders now see an opening to challenge the smartphone’s dominance. Whether or not Musk confirms his own project, the broader push to build the “next” personal device, one built around AI rather than apps, appears to be gaining real momentum across the industry, regardless of any single company’s denials.

Nirav Joshi: