SpaceX Built the Network an AI Device Needs. Now What? | PYMNTS.com

SpaceX built the network an AI device needs, and the question now is whether it can translate that infrastructure into a consumer endpoint. The Wall Street Journal reported July 1 that SpaceX showed investors a slimmer-than-an-iPhone prototype AI device ahead of a June 2026 IPO, running a proprietary operating system and built around xAI software on a Qualcomm Snapdragon chipset. SpaceX said the project was early and could change, and that production was not guaranteed. Elon Musk denied the report on X the same day, calling it “Utterly false,” after which SpaceX shares fell about 7% per Forbes. The article links the strategy to Starlink and emerging direct-to-cell plans, enabled by SpaceX’s merger with xAI in February, valued at about $1.25 trillion. It also situates the effort in a race to own the AI consumer interface alongside OpenAI and Apple.