"SpaceX is planning to raise tens of billions of dollars through an initial public offering next year, multiple outlets have reported, and Ars can confirm. The Wall Street Journal and The Information first reported about a possible IPO last Friday, and Bloomberg followed that up on Tuesday evening with a report suggesting the company would target a $1.5 trillion valuation."
"The largest IPO in history occurred in 2019, when the state-owned Saudi Arabian oil company began public trading as Aramco and raised $29 billion. In terms of revenue, Aramco is a top-five company in the world. Now SpaceX is poised to potentially match or exceed this value. That SpaceX would be attractive to public investors is not a surprise-it's the world's dominant space company in launch, space-based communications, and much more."
"But why would Musk take SpaceX public now, at a time when the company's revenues are surging thanks to the growth of the Starlink Internet constellation? The decision is surprising because Musk has, for so long, resisted going public with SpaceX. He has not enjoyed the public scrutiny of Tesla, and feared that shareholder desires for financial return were not consistent with his ultimate goal of settling Mars."
SpaceX plans an initial public offering next year to raise tens of billions, potentially exceeding $30 billion with a target valuation around $1.5 trillion. Multiple outlets reported the IPO plans and Bloomberg suggested the $1.5 trillion target. If executed, the fundraising could rival or outstrip the record $29 billion Aramco IPO. SpaceX leads in launch services and space-based communications, and Starlink revenue growth is boosting company revenues. Elon Musk long resisted taking SpaceX public because he disliked Tesla's scrutiny and feared shareholder pressure would conflict with his goal of settling Mars. Recent developments in artificial intelligence and Musk's engagement in AI ventures coincide with the shift.
Read at WIRED
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