SpaceX to Focus on Lunar ‘Self-Growing City’ Instead of Mars, Elon Musk Says

Elon Musk announced that SpaceX is now prioritizing the creation of a “self‑growing city” on the Moon, aiming to achieve this milestone within the next decade. While the company still plans to pursue Musk’s long-standing goal of establishing a city on Mars within five to seven years, he emphasized on X that securing the future of civilization makes the Moon a faster, more immediate target.

This shift comes after reports that SpaceX informed investors it will focus first on lunar missions, with an uncrewed Moon landing targeted for March 2027, delaying initial Mars plans. Musk’s pivot contrasts with his previous statements in 2025, when he insisted Mars remained the primary destination. Historically, Musk has set ambitious timelines for projects like electric vehicles and autonomous technology, often facing delays.

The decision also positions SpaceX in direct competition with China, as both nations race to return humans to the Moon for the first time since Apollo 17 in 1972.

In addition to space ventures, Musk revealed that SpaceX recently acquired his AI company, xAI, valuing SpaceX at $1 trillion and xAI at $250 billion. The acquisition is intended to support plans for energy-efficient space-based data centers to meet growing AI compute demands. SpaceX is also considering a public offering later this year that could raise up to $50 billion, potentially the largest in history.

Despite Moon ambitions, NASA contracts will make up less than 5% of SpaceX’s revenue in 2026, Musk said, with the commercial Starlink system contributing the majority. SpaceX remains a key contractor for NASA’s Artemis program, holding a $4 billion contract to land astronauts on the lunar surface using Starship.

Meanwhile, Musk is steering Tesla toward autonomous driving and robotics. Tesla plans to invest $20 billion this year to expand its Optimus humanoid robot program, ending production of two vehicle models at its California factory to prioritize the new initiative. Musk also promoted SpaceX’s Starlink service through the company’s first Super Bowl commercial, signaling the growing commercial focus alongside its lunar and Martian ambitions.