Musk Denies SpaceX AI Handset Report as Shares Fall 7% to $158.40

On July 1 2026, Elon Musk called a Wall Street Journal report 'utterly false' after it claimed SpaceX showed select investors a slim AI handset prototype ahead of its June IPO. The device reportedly runs a proprietary OS with xAI technology on Qualcomm Snapdragon chips but remains early-stage with uncertain commercialization. Despite the denial, investor reaction drove SpaceX shares down $12.32 or 7.27% to $158.40 from an intraday high of $171.74, extending the selloff from the June peak of $225.64.