A report claims SpaceX is developing an ultra-thin AI hardware prototype, but Elon Musk has publicly denied the claim, highlighting the growing competition around AI devices.

WHAT’S HAPPENING

A recent report from The Wall Street Journal claims SpaceX is developing an artificial intelligence hardware prototype that is slimmer than an iPhone. The reported device is said to feature a custom operating system, a Qualcomm Snapdragon processor, and AI capabilities tied to the company’s expanding AI ecosystem.

Elon Musk has disputed the report, calling it “entirely untrue.” As a result, the existence, specifications, and potential release of the reported device remain unconfirmed.

The report comes as several major technology companies are investing in dedicated AI hardware, including Apple and OpenAI, which is collaborating with former Apple designer Jony Ive on a new AI device.

WHY IT MATTERS

The next phase of AI competition may extend beyond software and into purpose-built hardware. As AI models become more capable, companies are exploring dedicated devices designed specifically for AI-powered experiences rather than relying solely on smartphones and PCs.

WHO BENEFITS

• Consumers seeking AI-first devices.
• Chipmakers supplying AI hardware.
• Companies developing next-generation AI ecosystems.

WHO LOSES

• Traditional device makers if AI-native hardware gains traction.
• Companies that fail to adapt to emerging AI hardware trends.

WHAT HAPPENS NEXT

Whether or not the reported SpaceX device exists, investment in AI hardware is accelerating across the industry. More announcements are expected as companies compete to define what AI-first consumer devices will look like.

BOTTOM LINE

The report—and Musk’s denial—underscore just how closely the industry is watching the emerging AI hardware race. Regardless of this specific claim, competition to build the next generation of AI devices is clearly intensifying.