Skip to navigationSkip to main contentSkip to right columnNamrata SenSat, July 4, 2026 at 11:33 PM GMT+2 6 min readBenzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below.Elon Musk, the CEO of Space Exploration Technologies Corp., has refuted reports that his company is developing a handheld AI device.Musk took to X and responded to the reports by labeling them as "utterly false".The original post about the report was deleted later on.Utterly false— Elon Musk (@elonmusk) July 1, 2026Don't Miss:A single bad hire can set a startup back years. Here are the 5 hires founders most often misjudge — and whyStill Learning the Market? These 50 Must-Know Terms Can Help You Catch Up FastEarlier this year, Musk said a Starlink phone was "not out of the question" and could be AI-optimized, but later clarified that SpaceX is not developing a smartphone.The Report In QuestionA report by the Wall Street Journal, published on Wednesday, indicated that SpaceX had presented investors with a prototype of a device similar to Apple Inc.'s iPhone, but "slimmer" before the IPO. As per the WSJ article, this device would run on SpaceX's proprietary system, using AI technology from xAI.The device would also include chips from Qualcomm Inc. according to the report. However, the device is reportedly still in the prototype phase, with no official name assigned, and it remains unclear whether it will ever be released to the public.The report comes after SpaceX President Gwynne Shotwell, last month, reportedly informed investors about the company's plans to launch a Starlink retail product for U.S. consumers and build its own terrestrial mobile network. Trending: Avoid the #1 Investing Mistake: How Your 'Safe' Holdings Could Be Costing You Big TimeWhat Do The Analysts Say?An analyst at TD Cowen predicted that SpaceX could pursue an acquisition of T-Mobile US Inc. to expand its wireless ambitions, leveraging its existing Starlink partnership and targeting the growing mobile connectivity market.In its IPO filing, SpaceX estimated a $740 billion addressable market for Starlink Mobile, signaling plans to expand the service and compete with carriers such as Verizon Communications and AT&T.On the other hand, analysts at Vital Knowledge said SpaceX faces significant hurdles in scaling consumer device manufacturing and competing with established platforms, arguing that Elon Musk's companies often receive generous valuations based on ambitious product promises rather than proven consumer products, reported Forbes."…it's hard to imagine SpaceX becoming a force in consumer electronics," wrote the firm.Terms and Privacy PolicyEU DSA contactPrivacy & Cookie SettingsMore Info