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Updated 13 October 2024 - SpaceX successfully tested its reusable rocket booster hours before announcing its landmark public share sale.
Historic rocket test precedes record-breaking IPO
SpaceX achieved a major milestone on Sunday morning when its Starship rocket, the largest ever built, completed a flawless launch and booster recovery at its Texas facility. The booster's precision landing-captured by the company's Mechazilla mechanism-marked the first successful retrieval of a rocket of this scale, drawing immediate praise from CEO Elon Musk, who called it a "pivotal step toward multiplanetary life."
Public shares in SpaceX: A $1.75 trillion bet on AI and space
On 12 June 2026, retail investors will gain access to SpaceX shares for the first time, with UK brokers reporting a surge in sign-ups. The initial public offering (IPO) values the company at $1.75 trillion, placing it among the world's top 10 most valuable firms. Despite posting a $5 billion loss last year, SpaceX's valuation hinges on its ambitious AI and space infrastructure projects, including the Starlink satellite network and xAI, Musk's artificial intelligence venture.
"This IPO might not suit everyone, but it's a thrilling opportunity for many," said Simon Belsham, Chief Client Officer at Hargreaves Lansdown. "We expect it could inspire a new wave of investors."
Hargreaves Lansdown
Beyond rockets: The AI-driven future of SpaceX
While SpaceX is best known for its rockets, the company's prospectus reveals a broader vision. Of its $28.5 trillion projected market, $26.5 trillion is tied to AI, with plans for orbital data centers and lunar bases. Critics, however, question the feasibility of these goals. Economist Sinead O'Sullivan, a former NASA advisor, noted, "The SpaceX brand is built on rocketry, but its capital is flowing into AI and data centers-industries with unclear synergies."
Musk's control and investor skepticism
Musk retains 85% voting control despite owning 42% of shares, raising concerns about governance. Financial journalist Robert Armstrong argued, "Investors should pay less for a company where they lack influence." Yet, Musk's track record-including Tesla's tenfold stock growth since 2020-has silenced many doubters. One institutional investor told the BBC, "The Elon Musk cult demands a premium for the privilege of no control."
Market risks and the AI gold rush
SpaceX's IPO is the first of several expected from AI-driven firms, including Anthropic and OpenAI. Analysts warn of a potential supply glut, with trillions in new shares flooding the market. Unlike the dot-com bubble, however, index funds may absorb some demand. The outcome will test whether investor enthusiasm for AI can sustain these unprecedented valuations.
Geopolitical stakes and the future of humanity
SpaceX's Starlink network has already played a critical role in Ukraine's defense, underscoring its geopolitical importance. The company's mission-"to make life multiplanetary"-positions it at the intersection of technology, economics, and global power. As Musk's influence grows, so do debates over the concentration of power in a handful of U.S. corporations.
For now, all eyes remain on SpaceX as it prepares to launch the most significant share sale in history.
