Sources: 
Elon Musk's SpaceX prepares for a major IPO aimed at raising approximately $75 billion, targeting a valuation of up to $2 trillion, which would mark the largest IPO in history.
Despite a reported revenue of $18.7 billion and an operating loss of $2.6 billion, the company's growth trajectory has been hampered by substantial losses, including a
net loss of $4.94 billion in 2026 after integrating xAI.
Starlink, SpaceX's connectivity division, is pivotal to its revenue stream, contributing
61% of 2025 revenue and achieving a subscriber base of
10.3 million in Q1 2026.
However, the revenue per subscriber is trending down, from
$99 in 2023 to $66 in Q1 of this year.
To optimize its offering, SpaceX plans significant capital investments, eyeing an extensive growth in AI compute infrastructure, which has already absorbed
$20.4 billion in funding.
As the prospectus states,
'We expect to allocate substantial capital to expand our compute infrastructure.' With an expansive total addressable market of
$28.5 trillion, including
$2.4 trillion for AI infrastructure, SpaceX faces fierce competition amid a delicate balance of innovation and profitability, needing to achieve
$189 billion in annual profits by 2035 to satisfy valuations.
Sources: Elon Musk's SpaceX seeks a valuation of up to $2 trillion in its upcoming IPO, despite slowing revenue growth and significant losses. The offering reveals a strategic focus on expanding its Starlink satellite connectivity and investments in AI despite posting a net loss of $4.94 billion in 2026.
