Web Desk: Reports that SpaceX is developing an artificial intelligence-powered handheld device have fueled speculation that Elon Musk’s technology empire could be preparing to enter the consumer hardware market, despite the billionaire’s categorical denial.
The Wall Street Journal reported that SpaceX recently presented an early prototype of the AI-focused device to institutional investors ahead of its public market debut. However, Musk dismissed the report on X, describing it as “utterly false” without elaborating on which aspects he disputed.
The conflicting claims have left the existence and future of the reported device unclear.
According to the Journal, the prototype resembles a slim, handset-style device rather than a conventional smartphone. Although still in the early stages of development, it reportedly runs on a proprietary operating system designed to integrate artificial intelligence technologies developed by Musk’s startup xAI.
The report added that the device is powered by a Qualcomm Snapdragon processor and is intended to prioritize AI-driven interactions instead of traditional smartphone functions.
Neither SpaceX nor Qualcomm immediately responded to requests for comment, and the reported specifications have not been independently verified.
The reported project comes as technology companies increasingly explore dedicated AI hardware beyond traditional smartphones.
Several firms are investing in devices built around conversational AI and intelligent assistants, seeking alternatives to today’s app-centric mobile experience. The trend reflects growing efforts to integrate generative AI directly into consumer electronics rather than relying solely on software applications.
If developed, the reported SpaceX device would place the company among a growing field of competitors pursuing next-generation AI hardware.
Industry analysts say a proprietary operating system would allow SpaceX to reduce its reliance on the mobile ecosystems controlled by Apple and Google.
Such an approach could give the company greater control over software updates, AI services and user experiences while avoiding app store policies and platform restrictions imposed by existing smartphone operating systems.
The Journal reported that investors were told the prototype remains experimental and could undergo significant design changes before any commercial launch. The company also reportedly indicated there is no assurance the project will ultimately reach consumers.
Although the reported device has been described as a handset rather than a smartphone, observers believe it could eventually connect directly to SpaceX’s Starlink satellite network.
Separately, the Financial Times reported that SpaceX is evaluating a Starlink-branded mobile service in the United States, a move that could pit the company against established wireless carriers including AT&T, Verizon and T-Mobile.
Reports have also suggested SpaceX has explored potential partnerships with telecommunications providers as it seeks to broaden Starlink’s consumer offerings.
Musk has repeatedly played down the prospect of building a smartphone.
In February, he said no phone was under development. Months earlier, during a public appearance, he remarked that the idea of manufacturing a phone “makes me want to die,” while adding that his companies would consider producing one only if circumstances made it necessary.
His latest denial has done little to quell speculation, with questions remaining over whether SpaceX is experimenting with AI-focused consumer hardware under a different product category or whether the reported prototype reflects an exploratory concept rather than a commercial device.
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