Elon Musk’s SpaceX is taking over xAI, his artificial intelligence startup, in a deal worth a reported $1.125 trillion.

In a memo, Musk said the merger would form an “innovation engine” – with AI, rockets, space-based internet and media in one place.

xAI is the creator of Musk’s controversial Grok chatbot, which attracted criticism around the world for allowing users to digitally undress women and children.

Last month, Musk’s electric car company Tesla announced a $2bn investment into xAI.